Pat McGrath Labs, the cosmetics brand founded in 2015 by British makeup artist Dame Pat McGrath, has entered a restructuring process that includes a potential sale of its assets, according to industry sources.
Based on information from multiple industry insiders and materials published by U.S.-based financial and asset advisory firm Hilco Global, the company is currently reviewing its brand-related assets as part of a broader restructuring and recapitalization effort. Assets under review are said to include intellectual property such as trademarks and logos, as well as collateral pledged by Pat McGrath Cosmetics, LLC and Patricia McGrath.
Under the formal sale process managed by Hilco Global, bids are due by January 26, 2026, with an auction scheduled for the following day. The sale will be conducted as a secured party–led public auction pursuant to Article 9 of the Uniform Commercial Code, with assets offered on an “as-is, where-is” basis.
The brand made a high-profile debut in 2015 with the launch of Gold 001, a gold multi-use pigment. Through a limited drop model and striking visual storytelling, Pat McGrath Labs quickly captured the attention of the global beauty industry. In 2018, the company received investment from Eurazeo Brands and achieved a valuation exceeding $1 billion, earning its status as a beauty “unicorn.”
In recent years, however, the brand has faced a series of operational challenges, executive changes, and layoffs. Industry observers widely believe its current valuation to be significantly below its peak. Eurazeo, which had previously invested in the company, is also known to have quietly exited its stake several years ago.
At the same time, increased attention surrounding the brand’s future coincides with a shift in McGrath’s own professional trajectory. In 2024, she was appointed beauty director of Louis Vuitton’s first-ever makeup line, La Beauté, which launched in the summer of 2025.
Pat McGrath Labs continues to be sold through major retailers, including Sephora and Ulta Beauty, and maintains a strong presence across social media platforms. According to materials published by Hilco Global, the brand is positioned to retain a meaningful role within the global beauty market, which is expected to continue growing in the years ahead.
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