Former chief executive snaps up troubled Sukin skin care brand for AUD$70M

(All image credits: Sukin).

12 Jan 2024 --- PNB Consolidated, led by former Beautiworkx (BWX) CEO John Humble, acquires Sukin for an estimated AUD$70 million (US$46.9 million).

This acquisition would be a turning point for the skin care brand, which faced an uncertain future following the financial collapse of its previous owner.

Sukin was founded in 2007 and gained popularity for its commitment to natural personal care products. Reportedly, the brand’s future took a turn in April 2023 when BWX, listed on the Australian Securities Exchange, went into administration due to debts owed to the Commonwealth Bank that came to almost AUD105 million (US$70.3 million).

Ensuring Sukin’s survival
Given Humble’s previous association with Sukin, the recent acquisition represents a step forward.

Sukin was founded in 2007 and gained popularity for its commitment to natural personal care products.According to reports, Sukin left BWX in 2018 after an unsuccessful AUD$860 million (US$576 million) management buyout backed by Bain Capital. With PNB Consolidated, Humble guarantees the brand’s existence and the ongoing operation of its Australian manufacturing facilities, which includes the Melbourne facility.

Sukin is known for its market presence in Australian supermarkets and pharmacies like Coles and Woolworths. The agreement ensures Sukin’s and its products’ continued success in the personal care industry.

The brand’s appeal in natural ingredients, reasonable pricing and alignment with the growing consumer trend toward ethical, sustainable and clean beauty formulations are highlighted in reports.

Ensuring flourishment
Overseeing the business deal, KPMG Australia’s (Klynveld Peat Marwick Goerdeler) restructuring services partner David Hardy says: “We are delighted to announce the sale of the Sukin brand. Importantly, we have been able to reach an outcome that keeps both this wonderful brand and high-end manufacturing operations together.”

“PNB Consolidated brings a strong pedigree in the manufacturing and distributing of health and wellness brands. Their vision and ownership will provide the ideal platform for Sukin to flourish for years to come.

He thanks the BWX team, clients and vendors, for their support during the receivership process. “This support has been invaluable to the receivers and managers and a key reason for reaching a successful sale outcome.”

Edited by Venya Patel

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