When 28-year-old Hailey Bieber first launched her eponymous skincare line, rhode, in 2022, few could have predicted the rapid ascent that would make headlines this week. On May 28, 2025, e.l.f. Cosmetics and Skincare inked a definitive agreement to acquire rhode in a deal valued at $1 billion—an acquisition that officially vaults Bieber into billionaire territory and cements rhode as a major player in the beauty world.

Under the terms of the agreement, e.l.f. Beauty will pay $800 million at closing in a mix of cash and newly issued shares, with up to $200 million more tied to rhode’s future performance targets. rhode reported net sales of $212 million for the 12 months ending March 31, 2025, underscoring the brand’s rapid consumer adoption since its debut just three years ago. e.l.f. plans to fund the transaction with approximately $600 million in new debt and roughly 2.6 million shares, a move that CEO Tarang Amin hailed as a “powerhouse alliance” built on “shared focus on disruption and product innovation.”

rhode’s origins date back to a simple vision: a minimalist, highly effective skincare line that harnesses science-forward ingredients without the fluff. Bieber’s first products—lip peptide glosses, gentle toners, and lightweight moisturizers—quickly became cult favorites on social media, thanks to her hands-on product development approach and authentic storytelling. By keeping the lineup tight and maintaining direct-to-consumer pricing, rhode cultivated an eager following that stretched far beyond Bieber’s own millions of followers.

In her own words, shared via an Instagram carousel post on May 28, Bieber reflected on rhode’s meteoric rise and her excitement about “bringing rhode to more spaces, places, and faces globally.” She went on to reveal that, post-acquisition, she will serve as rhode’s Chief Creative Officer and Head of Innovation while also advising e.l.f. Beauty on strategic initiatives:

I found a like-minded disruptor with a vision to be a different kind of company that believes in big ideas and innovation in the same way that I do … I feel invigorated, excited and more ready than ever to step into an even bigger role as Chief Creative Officer, and Head of Innovation of rhode as well as strategic advisor to e.l.f. Beauty … this is only the beginning.

Her husband, Justin Bieber, amplified the announcement by reposting her caption to his own 290 million followers—proof that this deal is as much a personal milestone as it is a business one.

The e.l.f.–rhode transaction marks a turning point in an industry that has veered between splashes of blockbuster M&A and cautious market sentiment. In recent years, celebrity-led brands like Kylie Jenner’s Kylie Cosmetics and Selena Gomez’s Rare Beauty set high-water marks, but many struggled to maintain momentum post-launch. rhode, by contrast, has thrived on the authenticity of its founder-led narrative and a streamlined portfolio that prioritizes efficacy over excess.

For e.l.f. Beauty—already a billion-dollar powerhouse with a broad portfolio spanning makeup, skincare, and personal care—the acquisition dovetails with a strategy to embrace nimble, digitally native brands that resonate with Gen Z and younger Millennials. Tarang Amin emphasized that rhode’s “ability to break beauty barriers” aligns perfectly with e.l.f.’s vision to “create a different kind of company” focused on community, culture, and innovation.

Post-deal, rhode will continue its carefully staged retail rollout. Though currently sold exclusively online, rhode has lined up its first brick-and-mortar partnership with Sephora in both North America and the U.K., slated for late 2025. e.l.f.’s operational muscle—spanning global distribution, manufacturing scale, and marketing heft—should accelerate rhode’s reach in new markets, from Europe and Asia to emerging digital channels in Latin America.

If the sale proves successful, it may rewrite the playbook for celebrity entrepreneurs in beauty and beyond. Rather than a one-off licensing deal or passive celebrity endorsement, Bieber’s transition from founder to a senior creator-executive role could become a model for sustainable, long-term brand building. By retaining a deep operational and creative stake, Bieber safeguards rhode’s ethos even as it scales under the e.l.f. umbrella.

Above all, the rhode acquisition shines a spotlight on what happens when celebrity cachet meets rigorous brand-building. For Bieber, it’s the fulfillment of the “big dreams” she envisioned at rhode’s inception. For e.l.f. Beauty, it’s a bet on culture-shaping products that resonate with tomorrow’s tastemakers. And for consumers, it promises the best of both worlds: science-backed skincare with a creator’s personal touch.

As Bieber herself noted, this $1 billion milestone is “only the beginning”—a fitting tagline for the next chapter in a collaboration that just might redefine what’s possible when brand, creator, and corporation blaze a trail together.