P&G has acquired Tula Skincare, one of the fastest-growing brands in the prestige space.
The consumer goods giant P&G is acquiring Tula Skincare — its third deal in two months and seemingly the largest, as well. Terms of the deal were not disclosed but Tula — a probiotic, superfoods-based skincare line founded by gastroenterologist Roshini Raj, Bobbi Brown cofounder Ken Landis and tech entrepreneur Dan Reich and backed by L Catterton — was reportedly on track to reach about $150 million in net sales for 2021. That makes it almost twice the size of Farmacy Beauty, which P&G bought in November, and three times that of Ouai, the hair care brand it snapped up in December.
Taken together as a group, along with P&G’s existing portfolio comprised of SK-II and First Aid Beauty, the company is significantly increasing its presence in specialty and premium channels, going head-to-head with rivals including L’Oréal, Unilever and the Estee Lauder Cos.
Markus Strobel, president of P&G’s global skincare and personal care category, said P&G wants to win in different channels and sectors and narrow the gap in each investment portfolio.
Savannah Sachs, CEO of TULA, said that the company mainly provides further skin solutions for consumers and will continue to operate independently with the help of P&G in the future and further drive the company’s growth.
It is reported that TULA was launched in Sephora, Canada in August this year, which is its first foray into overseas markets. The company has not yet announced its subsequent overseas market layout.
Founded in 2014, Tula has posted explosive growth since its inception, an early entrant in the conversation around probiotics in the beauty that connected the dots between beauty and wellness. It is both the fastest-growing prestige brand at Ulta Beauty and also a direct-to-consumer powerhouse, with about half of its sales coming from that channel. Millennials are its core consumer base, with about 75 percent of customers below the age of 35.