Yesterday, Urban Skin Rx, the skincare brand known for addressing the needs of melanin-rich skin, has been acquired by American Exchange Group (AEG) for an undisclosed sum.
Founded in 2010 by aesthetician Rachel Roff and led by CEO Victoria Payne, the brand has become a leader in serving customers seeking solutions for hyperpigmentation and dark spots. The acquisition marks AEG’s third foray into beauty in two years, following its purchases of Indie Lee and HatchCollective (now AX Beauty).
AEG’s strategic focus on beauty aligns with Urban Skin Rx’s positioning. “Urban Skin Rx is complimentary to our portfolio,” said Josh Kirson, AEG’s senior vice president of new business development. Pegged at approximately $30 million in net sales for 2023, the brand is well-distributed across Ulta Beauty, Target, Walmart.com, and Amazon. Its hero product, the $25 Even Tone Cleansing Bar powered by kojic acid, is a bestseller.
Urban Skin Rx has a strong direct-to-consumer (DTC) business, with African American women accounting for 93% of its DTC customer base. The brand also has a diverse following at Ulta Beauty, where 60% of customers are African American and 31% are women not identifying as women of color. “This partnership will allow us to expand our retail footprint while continuing to innovate,” said Payne.
AEG plans to amplify Urban Skin Rx’s market presence and introduce new innovations while highlighting core products, such as its $58 vitamin C serum. With a focus on evolving into the aging category and reaching a broader audience, Payne added, “We will embrace every single customer and meet their needs.”
