The haircare market is worth $1 billion a year in Australia and the prospects for global expansion are huge for local brands.
In November last year, Australian private equity firm, Anacacia Capital, acquired a cornerstone investment in Pump Haircare. The company was founded in 2017 by Sydney hair stylist, Natasha Jay, and quickly achieved success through its direct-to-consumer website.
The Covid-19 pandemic accelerated Pump’s growth with sales doubling last year. Nearly 50 per cent of annual revenues, expected to reach $20 million by the end of this year, come from international sales in the US and the Middle East. The brand currently has about 40 products sold through 300 retailers worldwide.
Pump Group Australia has acquired a substantial stake in The Department of Brands. The New Zealand company was founded in 2013 by Bex Gold and specialises in vegan and eco-friendly formulas, mainly under the Brite brand.
The Department of Brands launched the first “zero waste” haircare brand in Woolworths and its products are also sold in Priceline. Big box stockists overseas include Target, CVS, Ulta and Walmart in the US and Superdrug in the UK.
Bex Gold will remain a majority shareholder, but the acquisition will merge The Department of Brands with the Pump Group to double its size.
The Pump Group and Department of Brands partnership brings together two strong teams in this space across omnichannel retail in several geographies and we are looking forward to accelerating the pace of our growth, noted Stephen Warner, Pump CEO.