Hailey Bieber sells Rhode to e.l.f. in $1bn deal, stays on as creative head

Hailey Bieber is selling her skincare brand, Rhode, to e.l.f. Beauty in a blockbuster deal valued at up to $1 billion, just two years after launching the label that carries her middle name.

The 28-year-old model and entrepreneur, who co-founded Rhode in 2022, confirmed the acquisition in a social media post, calling it the “next chapter” for the brand. e.l.f. Beauty is expected to pay $800 million in cash and stock, with an additional $200 million linked to future sales milestones.

“Our partnership with e.l.f. Beauty marks an incredible opportunity to elevate and accelerate our ability to reach more of our community with even more innovative products and widen our distribution globally,” Bieber said.

Despite being a relatively new entrant in the beauty space, Rhode has reported over $200 million in net sales in the year leading up to March. The brand's viral popularity, fueled by TikTok's spotlighting of its peptide lip treatments and pocket blush, has propelled it into cult-favorite status. Plans are underway to expand into Sephora stores across the US and UK later this year.

e.l.f. Beauty praised Rhode as “a beautiful brand that we believe is ready for rocketship growth.”

Hailey Bieber will remain with the company as chief creative officer, while her co-founders and executive team will also continue in their current roles following the acquisition.

Rhode’s rapid rise mirrors the success of other celebrity beauty ventures. Rihanna’s Fenty Beauty, Kylie Jenner’s cosmetics line, and Selena Gomez’s Rare Beauty have all become major players in the global beauty market, with several earning their founders billionaire status. According to NielsenIQ, celebrity beauty brands generated over $1 billion in total sales in 2023 alone.

Bieber, the daughter of actor Stephen Baldwin, said in a recent Vogue interview that Rhode’s success has exceeded all expectations. “In my wildest dreams, it's already gone beyond what I would've hoped for,” she said.