Bubble bath: Beauty acquisitions are accelerating in pace and attracting significant multiples, is the market ready to pop?
“A few years and one pandemic on, we’ve seen continued momentum and spicy valuations, including Shiseido’s acquisition of Drunk Elephant in 2019 (estimated 4.6x forward revenue with an implied EV of $895m)¹, Coty’s majority stake in Kylie Cosmetics in 2020 (estimated 6.6x forward revenue with an implied EV of $1.2bn)² and Unilever’s acquisition of Paula’s Choice (c.6.5x forward revenue with an implied EV of c.$2bn).”