Why Did Hailey Bieber Sell Rhode At Its Peak? Know Here
Hailey Bieber's brand has acquired about $800 million in cash and $200 million in shares.
Model and entrepreneur Hailey Bieber has surprised everyone by entering the exclusive billionaires’ club. Her famous brand, Rhode, was recently acquired by E.l.f Beauty for US$1 billion. The sale was confirmed on her Instagram, where she revealed her new role as Chief Creative Officer and Head of Innovation at her brand. While many people were amazed by the sale, many questioned her decision to sell while her brand was profitable already. In recent updates, it is being alleged that it was due to her husband, Justin Bieber’s ‘Justice’ tour being cancelled.
Why Did Hailey Bieber Sell Rhode?
According to the terms of the agreement, the beauty giant has agreed to purchase Hailey Bieber’s brand at $800 million in cash and $200 million in shares. They also promised another $200 million according to the brand’s growth over the next three years. This raised the question as to “Why now?” and not in the next five years? After all, CEO Tarang Amin himself said, “She could have easily gotten more money from private equity or something else, but she cares about building this brand for the long term.”
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Relating to this, a recent report in the Hollywood Reporter highlighted the financial consequences of Justin Bieber’s ‘Justice’ tour cancellation. According to reports, failing to meet his contractual duty to the tour’s promoter, AEG, sparked a chain reaction that resulted in the Baby singer owing what insiders estimate is up to $20 million.
His then-manager, Scooter Braun, allegedly covered this cost at a ‘highly favourable rate.’ It is being reported that Bieber still owes this loan to Scooter. This comes after he sold his entire music catalogue for about $200 million, which also included his master recordings! Many insiders then questioned his decision to sell and also at a ridiculously low sum. Since then, his reps have denied any allegations of debt stationing them as ‘clickbait stupidity.’
Also Read: Did Selena Gomez Take Hailey Bieber’s Side Amid Magazine Controversy With Justin Bieber?
Keeping in mind that Rhode’s sale comes at the same time as Justin’s alleged struggles with mental health. The intrigue became natural after the Vogue cover controversy, followed by SZA’s concert frenziness. Having said that, Hailey’s gigantic success shouldn’t go unnoticed amid these speculations.
First Published: May 29, 2025 1:17 PM
