Beauty manufacturing business Mana Products is considering sale options, the company’s general manager Paul Masturzo confirmed to WWD on Wednesday.
Masturzo declined to say which firms the company had hired for the process, but several industry sources said the business tapped Guggenheim to evaluate Mana’s options in the wake of founder Nikos Mouyiaris‘ death in January. Guggenheim declined to comment for this story.
“With the passing of our founder, it is necessary for us to put in place a go-forward plan,” Masturzo told WWD. “We have hired a number of advisers to evaluate…what we have from a business standpoint and a real estate standpoint.”
“What we plan to do with that information is explore two paths…either stay as we are — and we’re perfectly able to do that, Nikos left us in great shape — or we look to a merger,” Masturzo continued.
The business is hoping to have decisions in place by the end of the year, he noted, stressing that the company is primarily focused on providing customers with the “quality and service they’re accustomed to.”
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Masturzo declined to comment on numbers, citing the company’s privately held status, but industry sources said the business has about $20 million in earnings before interest, taxes, depreciation and amortization.
For more than 40 years, Mana has manufactured beauty products. The company makes and owns Black Opal, a mass-market skin-care and makeup brand with products designed for women of color, and manufactures Make Beauty, a luxury cosmetics line started by Mouyiaris’ daughter, Ariana Mouyiaris. Mana also manufactures products for larger cosmetics businesses, including the Estée Lauder Cos. Inc.
Beauty manufacturing investments are growing among the private equity set, who have started to be squeezed out of the ultra-competitive brand auction process.
Earlier this year, Bain Capital bought a majority stake in Maesa, a beauty manufacturer and incubator responsible for many private-label brands, as well as Kristin Ess and Flower Beauty. There’s also L Catterton, which has backed Intercos since 2014, and the private equity groups, Cornell Capital and HarbourVest Partners, behind KDC (which has made several acquisitions).
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