Global investment firm KKR is reportedly preparing Wella Company, owner of OPI nail polish and Wella hair products, for an initial public offering (IPO) in the United States as early as this year. Sources familiar with the matter suggest the IPO could value the beauty company at significantly more than the $4.3 billion KKR paid for it. Wella Company, which owns several professional and consumer haircare brands, including Briogeo, ghd and Clairol, has been working with investment banks, including Bank of America and Goldman Sachs, for the listing.
KKR initially acquired a 60% stake in Wella from beauty conglomerate Coty in 2020, carving it out into a standalone company valued at $4.3 billion, including debt. KKR increased its ownership over the years, buying the remaining 25.8% of Wella in December 2023 for $750 million. Coty is slated to receive 45% of any proceeds from a sale or IPO of Wella, after KKR’s preferred return is met.
The backdrop for beauty IPOs has remained resilient as consumers continue to spend on personal care products. Wella Company, a global beauty company with brands like OPI and Wella hair products, employs over 6,000 people. Wella has primary offices in Geneva, New York City, London and Calabasas, California, with a large R&D facility in Darmstadt, Germany.
Consumer companies are optimistic about the IPO market after a few slow years. Organic children’s food company Once Upon a Farm and furniture retailer Bob’s Discount Furniture are both slated to go public later this week.
