Revolution Beauty eyes expansion with IPO listing

Estimated to be worth £500m, the make-up and skin care brand is expected to float on London’s junior market next month

British make-up and skin care brand Revolution Beauty has drawn up plans to make its debut on London’s junior market.

The float on Aim could net founders Adam Minto and Tom Allsworth a multi-million pound fortune with the 8-year-old brand expected to be valued at £500m for its initial public offering (IPO).

After starting out as a UK-focused business in 2013, the beauty favourite among Gen Zs began its global expansion, and is now sold across five continents, with a presence in more than 11,000 retailers, including Boots and Superdrug, as well as major online players Asos, Beauty Bay and Lookfantastic.

Revolution Beauty is expected to continue its market growth in current locations and new countries following its proposed listing next month, steered by Zeus Capital.

The team also intends to use the proceeds to expand its staff numbers, which currently stands at 220.

“I started Revolution Beauty eight years ao to start a revolution in beauty,” said Minto.

“I wanted to make high quality cosmetics and skin care affordable for everyone and now we’re on track to achieve these goals around the world.”

Revolution's quick-to-market model has allowed the brand to respond to ever-changing beauty trends and in the 14 months to 28 February 2021, the brand reported revenues of £157.6m.

“We have delivered exceptional growth, with a revenue CAGR of over 99% from inception of FY19,” added Minto.

“Our differentiated business model brings together online and retail revenues, while our manufacturing and consumer feedback strategy enables us to bring new products to market quickly.”

He continued: “Today marks a significant milestone for Revolution Beauty and our people. As we work to build a business to match the scale and potential of our brand, I thank them for their hard work to get us where we are today.”

Minto, along with Allsworth, owns the majority of the business’ shares, while TSG Consumer Partners (TSG) is a minority shareholder.

In addition to the newly issued shares, both founders will offer some shares in the IPO, retaining a 30% stake, but TSG will sell the majority of its holding.

Companies