L Catterton Acquires Majority Stake in Stenders

Stenders will leverage L Catterton's expertise and network to accelerate its international expansion

RIGA, Latvia, Sept. 9, 2024 /PRNewswire/ -- L Catterton, a leading global consumer-focused investment firm, today announced that it has acquired a majority stake in Stenders, a premium bath and body care company founded in Latvia in 2001 that now has a presence in 20 countries across the world. The transaction positions Stenders to accelerate its international expansion across Asia, Europe, the Middle East, and the US, on the back of secular tailwinds in the sector.

Consumer trends such as a heightening focus on holistic wellbeing, increasingly sophisticated bath and body care rituals, and rising preferences for products made from natural ingredients have been propelling a shift towards premium offerings. This shift has been galvanizing growth for Stenders, given the brand's standing as a bath ritual expert steeped in Latvia's unique bath culture, which dates back centuries as a practice to not only wash the body, but relax and cleanse the mind.

Drawing from its deep Latvian heritage, Stenders crafts high-quality products inspired by the natural environment in northern Europe and celebrates 'me time'. It currently has a portfolio of over 400 products which are meticulously developed with a focus on safety, sustainability, and functionality; made in Latvia using natural ingredients; and packaged using fully recyclable materials. Their aroma, texture, efficacy, provenance, and manufacturing location have therefore been lauded by customers across markets.

Underpinned by its broadening customer base, Stenders' revenue has risen by around 20% annually over the past four years. Sales are generated through its omnichannel presence spanning more than 300 stores across the world, major e-commerce platforms, and its website. Significantly, it has been able to clock robust same-store-sales growth and maintain healthy unit economics amid its expansion as the brand enjoys high conversion and repurchase rates.

Scott Chen, a managing partner at L Catterton, commented, "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. 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."

Stenders chief operating officer Kristine Grapmane added, "This partnership will unlock the next stage of growth for us. 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."

L Catterton has extensive experience building brands in the beauty and personal care space across the world. Current and 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.

About L Catterton

L Catterton is a market-leading consumer-focused investment firm, managing approximately $35 billion of equity capital across three multi-product platforms: private equity, credit, and real estate. Leveraging deep category insight, operational excellence, and a broad network of strategic relationships, L Catterton's team of more than 200 investment and operating professionals across 17 offices partners with management teams to drive differentiated value creation across its portfolio. Founded in 1989, the firm has made over 275 investments in some of the world's most iconic consumer brands. For more information about L Catterton, please visit www.lcatterton.com.

About Stenders

Stenders is a premium bath and body care company founded in Riga, Latvia in 2001. Inspired by the natural environment in northern Europe, its products are made in Latvia using natural ingredients and include bath bombs, foams, and salts; body butter, creams, lotions, oils, scrubs, and yoghurts; as well as hand creams and lotions. These are sold in approximately 300 stores spanning 20 countries across the world, and are also available online via its website and major e-commerce platforms. For more information about Stenders, please visit www.stenders.com.

CONTACTS

L Catterton

Julie Hamilton (U.S.)
media@lcatterton.com
+1 203 742 5185

Bob Ong / Bonnie Gan (Asia)
bob.ong@lcatterton.com / bonnie.gan@lcatterton.com
+65 6672 7619 / +86 10 8555 1807

Stenders

media@stenders.com

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