L’Occitane sells Melbourne-founded Grown Alchemist in $46 million deal

Melbourne-founded skincare brand Grown Alchemist will return to private ownership in a deal worth $46 million, two years after it was acquired by global beauty giant L’Occitane Group.

Grown Alchemist started life as a boutique skincare label founded by Melbourne-based siblings Jeremy and Keston Muijs in 2008, and quickly attracted both customers and awards for its ‘clean’ plant and bio-tech based products.

L’Occitane Group acquired a majority stake in the business in March 2022, and at the time, said it was “poised for international scalability and rapid growth”.

On Tuesday, Grown Alchemist revealed L’Occitane Group has sold its entire stake in the business for €28 million (A$46 million) and it will now be privately held.

Andre Hoffmann, former vice-chairman and chief executive of L’Occitane International and current executive director, has acquired a controlling majority stake in Grown Alchemist via his company Lavender Investments, while CEO Anna Teal has taken on a minority shareholding.

Teal said in a statement that the L’Occitane Group has been “an incredible partner and supporter” of Grown Alchemist during the past two years, and enabled the brand to “establish a strong foundation for growth, a stellar team, investment in product enhancements and new market entries”.

However, Teal said Grown Alchemist will “gain more strategic flexibility and autonomy outside of a listed group”, which presents an opportunity for the new owners to accelerate its growth.

“We are appreciative to the Group for their open-mindedness and support for this transition in line with growth strategies of both parties involved,” she added.

Grown Alchemist’s products are sold in more than 40 countries and stocked by retailers including Sephora and Credo Beauty, as well as premium hotels and spas. It also offers spa treatments and services, including IV Infusion Therapy.

Under its new ownership, the brand will be headquartered in London, and seek to grow further in key international markets in North America and China. In part, this will include a focus on “large-scale partnerships and activations in lifestyle, music and retail”, the company said in a statement.

Hong Kong-based L’Occitance Group said in a statement the sale will help it focus on its core brand L’Occitane en Provence, as well as grow the other beauty brands in its portfolio, including Melvita, Erborian and Sol de Janeiro.