To build a business that lasts, brands must appeal to more than their original core demographic. Behemoths like Nike and Apple have done so — but makeup, skin care and hair lines have had less luck.

The luxury marketplace acquired the cult beauty retailer less than two years ago, but is now exiting the category.

The French luxury brand with a sustainable bent was purchased by a new holding company founded by Designer Parfums’ Dilesh Mehta

The line, which makes up more than half of the designer’s total business, is revving up its ambitions, with new retail partners and a new category launch: fragrance.

The French beauty retailer announced Thursday that Jean-André Rougeot, Sephora North America’s chief executive and president, will retire in April 2024.

The line’s $1 billion valuation hinged on Emily Weiss repositioning the brand as a tech start-up rather than “only” a beauty label. As illustrated in an excerpt from Marisa Meltzer’s new book on the founder’s larger-than-life ambitions, inclusive of an app that never saw the light of day, it was a poor fit practically from the start.

The biofuels-turned-beauty company saw consumer brand net sales fall from $175.5 million in 2022 to $59 million as of June 2023.

The purchase of the high-growth indie label marks the company’s first M&A deal since 2020.