How $1.4bn Olaplex Acquisition Boosts Henkel’s Portfolio

Consumer goods company Henkel AG has agreed to buy Olaplex Holdings Inc, a luxury haircare brand, for US$1.4bn.

Henkel states the deal, at an offer price of US$2.06 per share, was unanimously approved by Olaplex’s board of directors and marks an “important milestone” in its business strategy.

At Olaplex’s initial public offering in September 2021, its shares were valued at US$21.00, suggesting a valuation of approximately US$14 to US$16bn.

In a company statement on the acquisition, Henkel CEO Carsten Knobel, said: “The planned acquisition of Olaplex is fully in line with Henkel’s strategy to expand its portfolio through compelling, value-adding merger and acquisition activities.

“This transaction allows us to expand our presence in premium haircare. The brand creates compelling opportunities for future growth and innovation.”

Henkel, which makes chemicals for industrial and commercial goods, also owns popular haircare brands like Got2b and Purex.

Purposeful growth

Olaplex said the acquisition would allow the company to expand its international reach and explore new opportunities for innovation and growth.

“This step is a testament to the momentum we’ve achieved in our transformation and the significant opportunities ahead for Olaplex to continue shaping the future of hair health and pursue long-term growth,” says Olaplex CEO Amanda Baldwin.

Olaplex’s company stock, which closed at US$1.30 per share, increased to 50% following the acquisition’s announcement.

The deal is designed to create new avenues for the brand within technology innovation and accelerated product development. 

In a company statement on the strategic framework, Henkel states Olaplex’s products will complement and broaden its offerings and the acquisition is part of its “purposeful growth” agenda.

"Olaplex is a perfect strategic fit for our premium haircare business,” adds Wolfgang König, Executive Vice President for Henkel’s Consumer Brands business. 

“Its strong scientific foundation, guided by professionals, combined with a robust presence across premium channels makes it highly complementary to our existing portfolio and we see meaningful opportunities to accelerate innovation.”

On March 10, Henkel also acquired Not Your Mother’s, a move designed to boost the brand’s US haircare portfolio. The decision to secure two brands in quick succession reflects Henkel’s interest in expanding its reach within the global haircare industry.

Shaping brand identity

Following the fallout of a lawsuit in 2023 alleging hair loss and increased competition within the luxury haircare industry, Olaplex has struggled to maintain its position as a financially-viable public company over the past few years.

Prior to the acquisition by Henkel, Olaplex’s stock had lost nearly 95% of its value since its initial public offering in 2021, when it opened at US$25 per share during the post-pandemic boom for IPOs.

In 2025, the brand attempted to salvage its sales performance, following a 3.6% decline in net sales in the third quarter of 2024, with a refreshed brand identity to reconnect with its core demographics — consumers and stylists.

Amanda Baldwin, CEO of Olaplex, says: “This step is a testament to the momentum we’ve achieved in our transformation and the significant opportunities ahead for Olaplex to continue shaping the future of hair health and pursue long-term growth. 

“I look forward to accelerating our product innovation, expanding our reach, and continuing to deliver results for our partners and customers around the world as part of the Henkel platform.”