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K18 is headed to a new home. The haircare brand has been acquired by CPG conglomerate Unilever, pending approval. Terms of the deal, which is expected to close in the first quarter of 2024, were not disclosed.
K18 was founded in 2020 by Suveen Sahib and Britta Cox, and launched with a single leave-in conditioner made with its proprietary K18 Peptide treatment that gained traction on platforms like TikTok as well as among professionals. Unilever, in a statement, lauded the brand as a “pioneer of using social media to educate and engage consumers about the science of hair”. It’s since expanded its line to six products, including a shampoo and hair oil.
The brand’s fast growth made it a prime M&A candidate for the beauty industry. Analysts say potential acquirers are seeking out companies that specialise in biotech with strong hero products that break through the noise in a crowded industry. Per estimates, around 700 brands in beauty are poised for acquisitions over the next several years. M&A is a favoured exit strategy for beauty brands; Olaplex, also known for its science-backed haircare and hero products, went public in 2021 and shares have dropped 89 per cent since its listing.
K18 will sit under Unilever’s Prestige category, a focal point for growth for the company.
“We are thrilled to continue to grow our Unilever Prestige portfolio in high growth premium spaces with the addition of K18,” Vasiliki Petrou, Unilever Prestige CEO, said in the statement. “This acquisition complements our fast-growing portfolio of premium, culturally relevant consumer brands. What Suveen, Britta and the team have created is a testament to the importance of brands built on unparalleled science, product efficacy and community love.”
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