ACON Investments LLC has agreed to acquire a controlling stake in JD Beauty, a maker of hair care accessories, from Topspin Partners. No financial terms were disclosed. JD Beauty will merge with ACON portfoliio company Goody Products Inc. The deal is expected to close in late March 2019. Based in Atlanta, Good Products sells hair brushes, combs and other hair accessories.
HAUPPAUGE, N.Y., March 11, 2019 /PRNewswire/ — JD Beauty Co., LLC (“JD Beauty”), the company behind the popular WetBrush branded hair care accessories, Bio Ionic hair styling tools and Ouidad hair care, announced today that it will merge with Goody Products, Inc. (“Goody”).
ACON Investments, L.L.C. and its affiliates (“ACON”), owners of Goody since their purchase of Goody from Newell Brands in August 2018, has signed a definitive agreement to buy a controlling interest in JD Beauty from Topspin Partners II, and its affiliates (“Topspin Partners”), a consumer-focused private equity firm, and will combine the businesses.
JD Beauty’s portfolio of dynamic haircare brands, like WetBrush, Bio Ionic and Ouidad, will merge with the iconic Goody Products Inc. to form a powerful multi-brand diversified haircare accessory, liquid and tool company uniquely poised to serve the beauty industry.
Jeffrey Davidson, CEO of JD Beauty who will become CEO of the combined entities upon closing, said: “This is an exciting day for us and the beauty industry. Together we can better serve both the professional and consumer beauty industry, with game changing product development capabilities, dynamic marketing initiatives, and best-in-class sales support and customer service. This transformational acquisition will combine one of the fastest growing companies in the beauty industry with one of the country’s most iconic and trusted beauty brands, Goody. Over the course of our partnership with Topspin Partners, we grew significantly through the launch of several new product lines, expanded distribution capabilities and the completion of strategic add-on acquisitions. We strongly believe this growth can continue through a partnership with ACON and Goody which will provide us with access to additional resources to build and accelerate our platform.”
Ken Brotman, Founding and Managing Partner at ACON commented, “The combination of JD Beauty and Goody creates a formidable supplier within the industry. We look forward to working with Jeffrey and the entire JD Beauty and Goody teams to continue a growth trajectory for the integrated company.”
Leigh Randall, Managing Partner at Topspin Partners said, “JD Beauty is an exceptional and innovative platform that has redefined the haircare industry. Over the past three years, Jeffrey and the team have grown the company from its single product beginnings in detangling brushes into a multi-category, multichannel platform. We are confident that JD Beauty will continue its growth under ACON and we wish the JD Beauty team the very best in their next chapter.”
Intrepid Advisors and Lowenstein Sandler, LLP served as advisors and legal counselor to JD Beauty.
Hogan Lovells LLP served as ACON’s legal advisor.
The transaction is expected to close in late March 2019. Terms of the transaction were not disclosed.