e.l.f. Beauty will acquire W3LL PEOPLE, a cruelty-free clean beauty company, for $27 million in cash. W3LL People has a presence at retailers including Target, Whole Foods, Amazon and Ulta Beauty, and is expected to contribute approximately $7 million in net sales in fiscal 2021.
W3LL PEOPLE’s products are plant-based and free from fillers, propylene glycol, petrochemicals or petroleum byproducts. The acquisition will extend e.l.f. into the clean beauty segment, as well as fuel synergies in the retailer’s cost and distribution fronts.
“We have been transparent about our desire to pursue strategic extensions that can leverage our strengths and bring new capabilities to e.l.f., and we have been disciplined in this process,” said Tarang Amin, CEO of e.l.f. Beauty in a statement. “W3LL PEOPLE is rooted in a deep and passionate understanding of clean beauty and shares our mission of making the best of beauty accessible. We believe that W3LL PEOPLE’s 12 years of clean beauty experience and high-quality product line, in combination with e.l.f.’s multiple strengths from operations to marketing, will be attractive to our retail partners — including Target, our longest-standing customer.”