E.l.f. Beauty Acquired Skincare Brand Rhode
The billion-dollar deal united the beauty giant with the high-growth skincare label founded by Hailey Bieber.
Updated on Oct. 14, 2026 in Beauty
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In a deal valued at up to $1 billion, E.l.f. Beauty acquired the skincare brand Rhode. The acquisition followed a period of rapid growth for the brand, which launched in 2022.
Why it matters
The founders sought to leverage E.l.f. Beauty's established infrastructure to scale operations globally, having hit capacity with their initial lean team. This partnership provides the resources needed to sustain the brand's rapid expansion into major retail markets.
Rhode generated approximately $390 million in net sales during fiscal 2026, marking an 80% increase from the previous year. The brand expanded into 19 European markets via over 500 Sephora doors in October 2026.
The players
Hailey Bieber
She is the co-founder of the skincare brand Rhode and serves as its chief creative officer and a strategic advisor to e.l.f. Beauty.
Lauren Ratner
She is a co-founder of the skincare brand Rhode who worked alongside Hailey Bieber to build the company from its 2022 inception.
E.l.f. Beauty
This cosmetics and skincare company provided the infrastructure necessary to scale Rhode following the acquisition.
The details
E.l.f. Beauty integrated the brand while allowing the founders to maintain autonomy over product development and creative direction. The move builds upon Rhode's earlier entry into U.S. Sephora locations in September 2025.
Timeline
Hailey Bieber and Lauren Ratner launched Rhode in 2022.
Rhode entered U.S. Sephora retail locations in September 2025.
Rhode generated $390 million in net sales during fiscal 2026.
The brand entered 19 European markets across 500 Sephora doors in October 2026.
Culture Shift
This acquisition reflects the broader trend of digital-native beauty brands aggressively expanding into physical retail environments to capture global market share. It mirrors the strategic consolidation seen across the industry as emerging labels leverage established corporate infrastructure to scale.
Consumers can expect more consistent product availability and broader retail access as the brand scales its footprint through the new partnership. The deal maintains the current creative direction of the product line, ensuring that the brand aesthetic remains unchanged for shoppers.
The takeaway
This merger demonstrates the necessity of robust operational infrastructure when transitioning from a small startup to a global retail player. Shoppers should anticipate continued growth in brand accessibility as the company aims for the billion-dollar sales milestone.
Further reading
For more on market trends, visit the Beauty section.
Source note: This article includes information reported by Fortune.
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