The British e-commerce group said Wednesday it had agreed to acquire the digital beauty retailer from private shareholders, including Net-a-Porter co-founder Mark Quinn-Newall and Cult Beauty co-founder Alexia Inge.
The deal is the latest sign of consolidations in the UK’s sizeable prestige beauty market. Last month, LVMH-owned Sephora acquired rival beauty e-tailer Feelunique for £132 million ($184 million). The addition of Cult Beauty to THG’s portfolio, which already includes e-tailer Lookfantastic and beauty brands like Illamasqua and Eyeko, will bolster its already-strong position in the market.
Cult beauty, founded by Alexia Inge and Jessica Deluca in 2008, is well-known among British beauty enthusiasts for its careful curation of hot indie brands and in-demand prestige labels. Around two thirds of the names stocked on Cult Beauty are currently not available at THG’s other beauty sites, according to the group.
Online make-up haven Cult Beauty is projected to hit £100 million in revenue this year.