Yesterday, Lys Beauty, the innovative color cosmetics brand, has secured a Series A investment from Encore Consumer Capital, a notable private equity firm. While the terms of the deal and Lys’ sales figures have not been disclosed, the partnership with Encore marks a significant milestone for the brand, which has made waves in the beauty industry since its inception.
Encore, known for its investments in high-growth beauty brands such as Supergoop, Tarte Cosmetics, Love Wellness, and Isopure, sees immense potential in Lys Beauty. Jamie Schwartz, a director at Encore who will join the Lys Beauty board, praised the brand’s innovative products and strong marketing strategies, adding that the company has “tremendous” potential in the beauty space. Schwartz compared Lys’ growth to that of transformative brands like Tarte and Supergoop, indicating high confidence in the brand’s future.
Thompson, who founded Lys Beauty in 2021, plans to use the Series A funding to enhance operations, increase inventory, ramp up marketing efforts, and expand globally. A key step in this growth trajectory includes Lys Beauty’s upcoming launch at 800 Kohl’s stores through Sephora, slated for April 8. The funding comes at a pivotal time when many minority-led beauty brands face challenges, but Thompson remains confident. She expressed excitement about the brand’s thriving trajectory and the support from Encore, highlighting that Lys Beauty is poised to continue flourishing even in the face of broader industry challenges.
Thompson, who previously worked as an accountant and marketing executive, initially launched Lys Beauty at Sephora with just six products. Today, the brand boasts around 15 SKUs, with bestsellers like the No Limits Cream Bronzer Stick ($21), Higher Standards Cream Glow Blush Stick ($21), and Triple Fix Blurring Skin Tint Foundation ($25). Lys Beauty has become a trailblazer in the beauty industry, particularly as the first Black-owned clean makeup brand to debut at Sephora.
Sephora has been a crucial partner in the brand’s success. Alison Hahn, Senior Vice President of Makeup and Fragrance Merchandising at Sephora, lauded Lys Beauty’s inclusive and accessible beauty solutions, praising the brand for its easily blendable cream stick formulas that resonate deeply with customers.
In addition to its retail success, Lys Beauty has also seen significant growth through TikTok. The brand experienced a 200% increase in direct-to-consumer sales in 2024, driven by its viral presence on the platform. Thompson acknowledged the power of TikTok in raising awareness for the brand, noting how the platform has helped boost Lys’ credibility and visibility. Following this success, Lys Beauty plans to expand its presence on TikTok Shop in the U.K., further enhancing its reach.
