Dubai's Huda Beauty Sells Fragrance Line KAYALI to Co-Founder and General Atlantic

Dubai-based Huda Beauty, a prominent player in the global cosmetics market, has announced the sale of its rapidly growing fragrance division, KAYALI, to co-founder Mona Kattan and private equity firm General Atlantic. The move, advised by Goldman Sachs Group Inc., is part of Huda Beauty's strategic review to enable both the fragrance and cosmetics segments of the business to pursue independent growth trajectories.

KAYALI, launched in 2018 by Huda and Mona Kattan, has become a significant player in the fragrance market, with products available in major retailers like Sephora and Walgreens. The brand is known for its distinctive gourmand scents, such as Yum Pistachio Gelato and Candy Rock Sugar, which have contributed significantly to Huda Beauty's success.

The sale of KAYALI will enable Huda Beauty to regain full founder ownership, as it will redeem the ownership interest held by TSG Consumer Partners since 2017. This decision reflects the brand's commitment to growth on its own terms while continuing to learn, evolve, and inspire within the beauty industry.

General Atlantic's investment in KAYALI provides the fragrance brand with access to capital and expertise, which can fuel further expansion and development. Melis Akar, the company's Managing Director at Head of Consumer for EMEA, sees immense opportunity for KAYALI to continue its growth journey as the brand expands its global community, unveils new products, and continues to push the boundaries of scent storytelling.

The perfume industry is experiencing a resurgence, with consumers increasingly seeking unique and high-quality fragrances. This trend could make KAYALI an attractive acquisition target for larger fragrance houses or private equity firms looking to enter or expand their footprint in the premium fragrance sector.

The discussions around the potential sale come at a time when Huda Beauty is also navigating other aspects of its business strategy. The company, founded by Huda Kattan in 2013, has rapidly scaled its operations, building a strong brand presence and a robust product portfolio. The potential sale of KAYALI is part of a strategic effort to refine its focus and drive long-term value for shareholders and stakeholders.



In conclusion, the sale of KAYALI to Mona Kattan and General Atlantic is a strategic move by Huda Beauty to enable both the fragrance and cosmetics segments of the business to pursue independent growth trajectories. The transaction aligns with the current wave of consolidation in the beauty sector, as companies seek to capitalize on the global rise in cosmetics spending. Funds from the potential Kayali sale would also enable the brand's founders to regain more control over the broader Huda Beauty business.