Hailey Bieber’s skincare brand, Rhode, has been acquired by e.l.f. Beauty in a landmark deal valued at approximately $1 billion. The acquisition marks one of the largest transactions in the celebrity beauty industry in recent years. Bieber, who founded Rhode in 2022, has grown the brand rapidly with a focus on minimalist skincare products and a highly engaged online following. According to industry figures, Rhode achieved $212 million in net sales over the twelve months leading up to March 2025, a significant feat for a startup in a crowded beauty market.
The deal consists of $600 million in cash, $200 million in e.l.f. stock, and a possible $200 million in additional payouts based on Rhode’s future performance. Hailey Bieber, age 28, will continue her leadership role as founder, now stepping into expanded positions as Chief Creative Officer and Head of Innovation for Rhode. She will also serve as a strategic advisor to e.l.f. Beauty, playing a key role in guiding the integration and future growth of her brand.
Bieber commented, “This is an incredible opportunity to take Rhode to new heights. e.l.f. Beauty shares our values and vision, and I am thrilled to work alongside them to bring innovative products to more people around the world.” Industry observers note that Bieber’s continued involvement was a critical factor in sealing the deal, ensuring Rhode’s signature voice and vision remain central to its development.
Strategic Expansion for e.l.f. Beauty into Prestige Skincare
For e.l.f. Beauty, the acquisition represents a strategic leap into the prestige skincare sector. e.l.f. is widely recognized for its affordable makeup and skincare lines, but Rhode brings a different dimension to its portfolio. With Rhode’s minimalist branding and loyal Gen Z and Millennial consumer base, e.l.f. is looking to diversify and broaden its reach.
“Rhode further diversifies our portfolio with a fast-growing brand that makes the best of prestige accessible,” said e.l.f. Beauty CEO Tarang Amin. “We are excited to welcome Hailey and the Rhode team as we work to bring innovative, high-quality skincare to even more consumers.”
The acquisition also coincides with Rhode’s plans to expand its physical presence. A new partnership with Sephora will see Rhode products available in retail stores across North America and the United Kingdom. This move is expected to boost distribution and allow e.l.f. to capitalize on Rhode’s strong online reputation, converting digital buzz into retail success.
Celebrity Brands and Market Impact
Rhode’s swift ascent highlights the increasing power of celebrity-led brands in the beauty industry. In recent years, stars like Rihanna (Fenty Beauty), Selena Gomez (Rare Beauty), and Kylie Jenner (Kylie Cosmetics) have transformed the landscape, attracting loyal fans and disrupting established companies. Rhode distinguished itself through its “glazed skin” trend, viral Peptide Lip Treatment, and effective use of social media.
The numbers back up Rhode’s success: in 2024, the brand was ranked the No. 1 skincare label in Earned Media Value, meaning it generated more organic attention than any of its competitors. The acquisition by e.l.f. signals that celebrity-founded startups are no longer niche experiments but formidable players with lasting influence.
Industry analyst Priya Rao observed, “Celebrity involvement is not just a marketing strategy—it’s about authentic leadership and direct input into the brand. Hailey Bieber’s approach with Rhode shows how important the founder’s vision is for modern consumers.”
A New Phase: Innovation and Global Growth
Looking ahead, Rhode’s future will center on expanding its product offerings and entering new markets. With the resources of e.l.f. Beauty behind it, Rhode will be able to scale production, accelerate product development, and enhance marketing efforts. Bieber stated, “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.”
Plans are underway for new product launches and for Rhode to debut in more retail locations worldwide. Both companies emphasized their shared commitment to clean, cruelty-free, and accessible beauty, positioning Rhode to capture an even larger share of the global skincare market.
With Bieber staying deeply involved, consumers and investors alike will be watching how Rhode navigates this transition. The collaboration exemplifies the industry’s ongoing shift toward founder-driven innovation and larger companies investing in authentic, fast-growing brands.