EIF Buys Hailey Bieber Brand 'Rhode' for $1Bn— Here’s What Makes this Deal Special

Outlook Business Desk

Rhode Rise

Founded by Hailey Bieber in 2022, Rhode is a simple skincare brand that became very popular. Known for its clean products and social media buzz, it’s now being bought in a big $1 billion beauty deal.

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Deal Structure

The acquisition includes $800 million in cash, $200 million in e.l.f. stock, and an additional $200 million contingent on Rhode’s performance over the next three years.

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Rhode Rapid Growth

Launched in 2022, Rhode achieved $212 million in net sales by March 2025, with a minimal product lineup and strong social media influence as per multiple media reports.

@rhode

Hailey Bieber’s Continued Role

Post-acquisition, Hailey Bieber will remain as Rhode’s Chief Creative Officer and Head of Innovation, also serving as a strategic advisor to e.l.f. Beauty.

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Why Bet on Rhode?

E.l.f. sees Rhode as a fast-growing, influencer-backed brand with strong appeal among young consumers. By acquiring Rhode, e.l.f. aims to enter the prestige skincare market and boost its global presence amid slowing growth and tariff challenges.

@ELF

Strong Earnings Beat

E.l.f. beat Wall Street estimates with Q4 revenue of $333 million and earnings per share of 78 cents. Net income nearly doubled compared to last year, but concerns remain as growth slows alongside tariff mayhem

@elfcosmetics

Future Outlook

This deal will help e.l.f. Beauty and Rhode grow faster, create new products and become more popular around the world in the skincare market.

@elfcosmetics

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