Ulta Beauty has acquired UK-based beauty retailer Space NK from Manzanita Capital.
Space NK has 83 stores in the UK and Ireland and is known for its line-up of up-and-coming brands.
Space NK will operate as a standalone subsidiary of Ulta Beauty and will continue to be led by its existing management team, including Space NK CEO Andy Lightfoot.
It emerged last year that Manzanita Capital was looking to sell Space NK, and there were reports that the retailer could be worth between £300m and £400m ($407m-$543m).
The deal marks a major move in Ulta Beauty’s international expansion strategy.
“International expansion is an integral part of our Ulta Beauty Unleashed plan, and the acquisition of Space NK offers a unique and strategically compelling opportunity to enter the growing UK market with a successful and growing brand. Along with our initiatives in Mexico and the Middle East, we are creating a broader platform for Ulta Beauty to unlock long-term, profitable growth,” commented Kecia Steelman, President and CEO of Ulta Beauty.
Space NK has been part of Manzanita Capital for 23 years. The company acquired the retailer from founder Nicky Kinnaird, who created the entity in 1993.
The purchase of Space NK was funded with cash on hand and capacity under Ulta Beauty’s existing credit facility. The acquisition is not expected to be material to Ulta Beauty’s fiscal 2025 financial results.