L Catterton adds to wellness portfolio with Stenders acquisition

LVMH-backed L Catterton announced on Monday it has acquired a majority stake in Stenders, a premium bath and body care company.

Financial terms of the deal were not disclosed.

The transaction will help the Latvian wellness brand,  which makes foams, and salts; body butter, creams, lotions, oils, scrubs, and yoghurts; as well as hand creams and lotions, accelerate its international expansion across Asia, Europe, the Middle East, and the U.S., according to a press release.

“This partnership will unlock the next stage of growth for us,” said Stenders chief operating officer, Kristine Grapmane.

“L Catterton has a proven track record of creating value for its portfolio companies and we are keen to tap into its insights, operating know-how, and network as we continue to expand across various geographies. Our focus will be on enlarging our presence, further enhancing the productivity of our stores, augmenting our e-commerce business, optimizing our manufacturing efficiency, and attracting talent.”

Founded in 2001, Stenders crafts high-quality products inspired by the natural environment in northern Europe. It currently has a portfolio of over 400 made-in-Latvia products, developed with a focus on safety, sustainability, and functionality, using natural ingredients; and packaged using fully recyclable materials. 

The company’s revenue has risen by around 20% annually over the past four years, with sales generated through its omni-channel presence spanning more than 300 stores across 20 countries, major e-commerce platforms, and its website. 

“Consumers are progressively ‘trading up’ in the bath and body care market and we expect the trend to persist as they further gravitate towards such premium products like they have with facial skincare and hand care,” said Scott Chen, a managing partner at L Catterton.

“Having brand values and stellar products which resonate with its target customers, Stenders has been able to astutely capitalize on this shift. There is still ample headroom for further growth and we look forward to partnering with Stenders’ management team to realize our shared goals.”

It’s not the first beauty and wellness investment by the U.S. investment firm. Past investments in the sector include Ci Flavors, Elemis, Etvos, Function of Beauty, The Honest Company, Maria Nila, Marubi, Merit, Nutrafol, Oddity (the parent company of Il Makiage), Sugar Cosmetics, Tula, and many others.