Huda Beauty, the Dubai-based cosmetics firm, will sell its ownership in its fragrance firm Kayali to US growth equity firm General Atlantic for an undisclosed sum.

The fragrance company will be run in a partnership between General Atlantic with Mona Kattan, sister of Huda Kattan, who founded parent company Huda Beauty in 2013 with her sisters and husband. 

The sale will allow the cosmetics firm to redeem ownership from a minority stake investment by private equity firm TSG Consumer Partners, which valued Huda Beauty at $1.2 billion in 2017.

Mona Kattan will continue as CEO of Kayali and jointly own it with General Atlantic, which opened an ADGM office in December. Kayali will then operate separately from Huda Beauty post-sale.

Goldman Sachs International served as Huda Beauty’s financial advisor, and Gibson Dunn served as its legal advisor.  Skadden, Arps, Slate, Meagher & Flom served as Mona Kattan’s legal advisor.

Raymond James served as General Atlantic’s financial advisor, and Latham & Watkins served as its legal advisor.

The GCC cosmetics market is projected to reach $14.4 billion by 2033, growing at a CAGR of 6% from 2024’s $8.5 billion, according to Imark research.

Saudi Arabia’s e-commerce beauty company Nice One completed a $320 million IPO on the kingdom’s stock market Tadawul last month.

(Reporting by Imogen Lillywhite; editing by Seban Scaria)

imogen.lillywhite@lseg.com