American celebrity Selena Gomez is seeking potential investors or firms capable of infusing fresh capital or acquiring her start-up, Rare Beauty, as reported by the news platform Mint, citing Bloomberg.
According to the report, Gomez has hired advisers to evaluate offers for her cosmetics company. The report further stated that these bankers have initiated discussions with interested entities, although Gomez has yet to meet with them.
Although representatives for Rare Beauty and the actress have not responded to the development, the report added.
The Business of Fashion, which reports on the fashion industry, has already named the company as "one of the most sought-after M&A targets for 2024," with a valuation of $2 billion.
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Founded in 2020 by Gomez and her team, the start-up offers beauty products that can be easily accessed. Its blush became a viral hit on TikTok the following year. Other popular products include a highlighter compact.
Celebrities in the US beauty industry have experienced mixed results. While Gomez, Rihanna, and Hailey Bieber found success, Ariana Grande's R.E.M. Beauty and Lady Gaga's Haus Labs have undergone changes. Gomez, known for her Disney career and massive Instagram following, leverages her platform for mental health advocacy and business ventures.
She co-founded Wondermind, a mental health start-up valued at $100 million, and has executive produced shows for Netflix and Warner Bros. Discovery. Additionally, she collaborates with brands like Puma.
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