TPG has reduced its stake in cosmetics group Anastasia Beverly Hills as part of a debt restructuring, largely wiping out the private equity firm’s $600m investment, according to a report by Bloomberg. TPG now holds around 6% of the business, down from the roughly 38% it acquired in 2018.
The original investment was structured through a combination of preferred equity and debt taken on by the company. As part of the restructuring, discussions have included lenders taking equity and providing more debt.
Founder Anastasia Soare is reportedly exploring options to support the business, including a potential $225m capital injection. The company has been in extended forbearance while negotiating with creditors following a missed loan payment earlier this year, which led to credit rating downgrades.
Founded in 1997, Anastasia Beverly Hills built its brand around eyebrow-focused products before expanding into a broader cosmetics range, with distribution through retailers including Dillard’s, Macy’s, Nordstrom and Sephora.
