Universal Beauty Group Raises 6 Million Euros: EXCLUSIVE – WWD
PARIS – Universal French natural cosmetics company Beauty Group, known for the brand Végétalement Provence for hair salons and beauty, beauty experts, has raised 6 million euros from a group of investors led by Connect Pro.
Connect Pro, an investment fund based in Marseille, France, was accompanied in this round, signed early Thursday afternoon, with private equity funds BNP Paribas Développement, Étoile Capital and Région fund Sud Investments.
The new funding will help Universal Beauty Group accelerate growth in the thriving natural beauty sector, which is forecast to record annual growth of between 6% and 9% from 2021 to 2027.
“With the support of teams, training academies and logistics facilities, [Universal Beauty Group] is poised to become a major player in the field of alternative cosmetics and beauty,” the group said in a statement.
Part of the company’s strategy is to expand its product range and open a new concept store in Paris in the spring of 2022. A large investment will be made in digital and commercial development. electronics, and another focus will be on strengthening the group’s international expansion. .
Following this transaction, Universal Beauty Group founders Vincent Faraco and Jean-Marc Delabre will remain the largest shareholders and continue to lead the company.
Universal Beauty Group raised €1.5 million in capital from private equity firm Audacia in 2017. That investment allowed Végétalement Provence to double its inventory while launching new categories. , such as skin care, with lines like Hair Spa and Skin Spa. The brand introduced a collection for ethnic hair, called TSA, and the Cataplasme professional powder hair color range.
Since 2017, Universal Beauty Group has also opened three individually branded concept salons along with around 20 independent concept salons under the Végétalement Provence brand. The newest indie boutique launched in Lyon, France in October.
Végétalement Provence products have received rave reviews from hairstylists such as Charlie Le Mindu, Ben Mignot and Henry Olivier.
Delabre, a longtime hairdresser, and Faraco, a marketing executive, founded Universal Beauty in 2008. Initially, they manufactured and distributed hair care products for other companies. They then launched in 2011 their own natural hair care products under the Végétalement Provence label, to be more environmentally friendly while keeping the health of customers and hairdressers in mind.
Universal Beauty Group has over 275 SKUs in its portfolio. The professional range of Végétalement Provence includes more than 130 color references, including products using oxidation and other plant-based products.
One hundred and forty SKUs in the area of hair and skin care for the general public. The group says its product resale rate exceeds 20%, compared with the usual 5% resale rate in professional salons in France. It proves that the brand is rapidly expanding from business to business model to include business-to-consumer reach.
Universal Beauty Group, headquartered in Saint-Rémy-de-Provence, France, has about 20 employees. It sold 170,000 products through more than 500 points of sale and e-store in 2020.
70% of the group’s sales increase in mainland France; 15% in Reunion, the French island, and 15% abroad.
In 2021, the company is expected to reach sales of €4 million and have earnings before interest, taxes, depreciation and an amortization margin of about 20%.
Universal Beauty Group began looking for a new investor in May, which it said has received strong interest at home and abroad, from hair care and beauty companies, as well as private equity. individuals and family offices.
Richard Morgan Advisory and the law firm Volt Associés have advised Universal Beauty Group. Nova Partners advised investors and Deloitte Finance performed financial audits.
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https://wwd.com/beauty-industry-news/beauty-features/exclusive-universal-beauty-group-raises-6-million-euros-1235014330/ Universal Beauty Group Raises 6 Million Euros: EXCLUSIVE – WWD