Latham & Watkins LLP advised e.l.f. Beauty, Inc. (NYSE: ELF), a publicly listed cosmetics company, in its definitive agreement to acquire rhode, a rapidly growing, multi-category lifestyle beauty brand founded by Hailey Bieber.

The acquisition marks a significant strategic move in e.l.f. Beauty’s global expansion plans and aligns with both brands’ shared focus on product innovation and market disruption.

The transaction is valued at US$1 billion, comprising US$800 million in cash and stock consideration payable at closing (subject to customary adjustments), along with an earnout of up to US$200 million based on rhode’s performance over the next three years.

Latham & Watkins LLP’s corporate deal team was led by Bay Area partners Mark Bekheit and Tad Freese, with associates Lauren Lefcoe, Tiana Baghdikian, and Ashley Campfield.

Advice was also provided on securities matters by Bay Area partners Kathleen Wells and Richard Kim, with associate Raul Gonzalez-Casarrubias; on executive compensation, employment, and benefits matters by Bay Area partner James Metz, with associate Jennifer Lin; on tax matters by Bay Area partner Grace Lee, with associate Gregory Conyers; on intellectual property and data privacy matters by Bay Area partner Michelle Gross, with associates Amy Tosi, Gabrielle Forte, Karen Lee, Kiara Vaughn, and Lorenzo Meusburger; on antitrust matters by Bay Area partner Kelly Fayne, with associate Hanna Nunez Tse; on insurance matters by Los Angeles partner Harrison White, with associate Enrique Covarrubias; on anticorruption matters by Bay Area partner Scott Joiner, with associates Christopher D’Agostino and Heather Artinian; on export control matters by Washington, D.C. counsel Ruchi Gill, with associate Dillon Curtis; and on entertainment matters by Los Angeles partner Jonathan West, with associates Jamie Levine and Sam Lehman.