Estée Lauder just bought cosmetics company Too Faced for about $1.45 billion, in the company’s biggest acquisition in its history.
By nabbing a brand that is so popular with millennials, Too Faced, which is expected to top $270 million in net sales this year, will help Estee Lauder expand in e-commerce and specialty stores, and the purchase is expected to be completed next month.
Too Faced, started by Jerrod Blandino and Jeremy Johnson, is a Los Angeles-based brand that has 7.3 million Instagram followers and sells makeup for the eyes, face and lips.
According to Bloomberg.com, Estée Lauder, based in New York, could do with a boost in profits as shares are down 12 percent this year.
Big bucks: Estée Lauder shelled out big bucks | INSTAGRAM
However, since the news broke, fans have been quick to question whether the Too Faced products would still respect their cruelty-free formula.
But don’t fret, as a Too Faced rep told Refinery29, “The formulas will stay the same, and yes, the brand will stay 100% cruelty-free!”
“We started our careers behind the counters of the Estée Lauder brand, so this is truly a ‘homecoming’ for us,” Jeremy Johnson and Jerrod Blandino, cofounders of Too Faced said in an official statement.
“The Estée Lauder Companies appreciates our unique vision — to provide innovative, cruelty-free makeup products that give women the confidence to ‘have fun, play, and dream big’ — and is committed to ensuring that we retain and build on the core pillars of our brand that are so important to us and our fans.”
“We will not be animal testing, we will not be going into China, we will not be made to fold into a corporate culture that we do not have,” Blandino told WWD.
“[ELC] love and respect what we have created and are just going to support us and lift us up, without changing us in any way but great.”
