The global prestige beauty products brand Elizabeth Arden announced that it has made an investment in Red Door Spa Holdings, the operator of the Elizabeth Arden Red Door Spas and the Mario Tricoci Hair Salons privately owned by North Castle Partners.
Elizabeth Arden has partnered with J.H. Anderson Holdings and its principal John Anderson, to collectively invest $12 million for a minority interest in Red Door Spa Holdings.
"Our intent in partnering with John Anderson and North Castle Partners is to accelerate the growth of the spa business in parallel with the growth of the Elizabeth Arden brand and the Elizabeth Arden brand repositioning," commented E. Scott Beattie, Chairman, President and Chief Executive Officer of Elizabeth Arden.
"The collaboration between Elizabeth Arden, John Anderson and North Castle brings the relevant product, operational management and financial skills to maximize the growth potential and profitability of the Red Door Spa business. The equity of the Elizabeth Arden brand is rooted in its Red Door Spa heritage. We intend to leverage this unique association to drive both Elizabeth Arden product sales and the Red Door Spa business."
"I am extremely excited about the potential of Red Door Spas. The Elizabeth Arden Red Door Spa enjoys tremendous brand equity. As one of the most highly recognized names in the nearly $50 billion global spa industry, I look forward to leveraging this brand name in expanding the business," continued Mr. Anderson.
Red Door Spa Holdings currently owns and operates 31 Red Door Spas in freestanding locations and upscale resort and hotel properties in the United States and 18 Mario Tricoci Hair Salons in the Chicago metro area and had combined revenue of approximately $150 million in fiscal 2011.
Elizabeth Arden has an extensive portfolio of prestige beauty brands sold in over 120 countries. The company's brand portfolio includes Elizabeth Arden skincare, color and fragrance products, the celebrity fragrance brands of Britney Spears, Elizabeth Taylor, Justin Bieber, Mariah Carey, Nicki Minaj, Taylor Swift, and Usher; the designer fragrance brands of Juicy Couture, Alfred Sung, BCBGMAXAZRIA, Geoffrey Beene, Halston, Bob Mackie, Ed Hardy, John Varvatos, Kate Spade, Lucky Brand, True Religion and Rocawear; and the lifestyle fragrance brands Curve, Giorgio Beverly Hills, and PS Fine Cologne.
