MAV Beauty Brands announced that it has received the green light from the Ontario Superior Court of Justice for the sale of substantially all of its assets and those of its subsidiaries to an affiliate of Nexus Capital Management LP, a Los Angeles-based private equity firm.

The completion of the sale is expected to take place on or about December 8, 2023, but no later than December 22, 2023, subject to the satisfaction or waiver of customary closing conditions.

Founded in 1995, MAV Beauty Brands is a global personal care company that operates Marc Anthony, Renpure, Cake Beauty and The Mane Choice brands. Its hair care, body care and beauty products are sold in over 25 countries around the world and in many major retailers.

The company first announced voluntary proceedings under the Companies’ Creditors Arrangement Act, early this month. Nexus will acquire substantially all of the company’s assets for a purchase price significantly less than the current principal amount of the outstanding debt, which stands at US$121.7 million.

Michael Cohen, partner at Nexus, said, “Nexus invests in leading companies and management teams across industries. With MAV Beauty Brands, we see strong long-term potential in the Company’s iconic brands, high-quality products, and loyal consumer base.” 

Kayla Dean Obia, vice president at Nexus, added, “We have established a new capital structure and strategic plan designed to renew growth and profitability, which will enable the Company to invest in new product innovation and build on its partnerships with retailers.”

The Canadian beauty company said that it expects its day-to-day operations to proceed without interruption during this transitional period, maintaining business as usual.

In connection with the ongoing changes, the trading of MAV Beauty Brands’ common shares on the Toronto Stock Exchange (TSX) has been halted. The TSX will officially delist the company’s common shares on December 21, 2023.