Unilever, the global consumer goods company, has made a strategic move to strengthen its beauty business with the acquisition of haircare brand K18. This deal is expected to enhance Unilever’s presence in the premium haircare segment and align with its focus on sustainable and efficacious products.
Unilever has entered into an agreement to acquire K18, a biotech hair care brand, for an undisclosed amount. The deal is expected to close in the first quarter of 2024. K18, founded in 2020 by Suveen Sahib and Britta Cox, has gained recognition for its unique biology-first and biotech approach to haircare.
Unilever’s acquisition of K18 aligns with its strategy to invest in high-growth premium categories and expand its portfolio of culturally-relevant consumer brands. The addition of K18 to Unilever’s Prestige portfolio is expected to complement its existing premium brands and contribute to the company’s growth in the beauty segment.
K18’s innovative products, which focus on targeting hair damage, have gained popularity among professionals and consumers alike. The brand’s range of products, including a leave-in molecular hair repair mask, utilises a novel molecule called K18 Peptide to reverse chemical damage on all hair types. This unique approach has positioned K18 as a leader in the haircare industry.
K18 has expanded its distribution network in recent years, selling through professional salons, retailers, and online platforms. In 2021, the brand secured a deal with Sephora to be sold in over 500 of its stores. This partnership has further increased K18’s visibility and accessibility to consumers.
Growth Potential and Industry Outlook
The acquisition of K18 is expected to contribute to the optimization of Unilever’s portfolio and drive growth in higher-growth areas. With the increasing demand for premium hair care products and the brand’s strong market presence, K18 is well-positioned to continue its growth trajectory under Unilever’s ownership.
RTM Watch’s Take
Unilever’s acquisition of K18 reflects its commitment to expanding its presence in the beauty segment and investing in innovative and sustainable brands. By adding K18 to its portfolio, Unilever can tap into the growing demand for premium haircare products and leverage K18’s unique biotech approach to hair repair. This strategic move is expected to strengthen Unilever’s position in the market and drive further growth in the beauty industry.
