Add MallyGirl LLC to the list of cosmetics brands up for sale. Founded in 2005 by makeup artist Mally Roncal, the color cosmetics line generated sales exceeding $30 million wholesale last year, according to a document issued by Heritage Equity Partners, the company handling the bankruptcy-approved sale.
Industry sources estimated that MallyGirl could fetch at least $10 to $15 million. The deadline for bids is June 3.
Despite a following of fervent “Mallynistas,” the brand was forced to file for bankruptcy protection on April 20, according to documents obtained from the Maryland Bankruptcy Court. Originally slated as Chapter 7, the case was converted to Chapter 11 last week.
Roncal is considered one of the most recognized and admired makeup artists in the industry with more than 50,000 Twitter followers, 125,000 Facebook likes and 60,000 followers on Instagram. In addition to promoting her items, she shares moments from her daily life such as reminders to get physical exams and inspirational messages.
Her 1,000 products are sold on QVC and in Ulta Beauty, as well as online at Mallybeauty.com and other beauty Web sites. Roncal was an instant hit on QVC and through that relationship developed a strong international presence. According to Heritage Equity Partners, the brand has more than 400,000 regularly buying customers.
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When Mally launched at Ulta last year, Roncal made numerous in-store appearances — as did a life-size replica of Mally which fans used for Instagram selfies. Mally was singled out as a strong launch during Ulta executives’ presentations to analysts last year.
Mally was among the brands edited from Henri Bendel when the company exited third-party beauty brands last year.
“I assume Mally will be part of the sale and her promotional ability will be important for future success,” said one industry observer. “There’s a huge fan base, a big social media following and the line has always been innovative. It’s a great buy.”