When award-winning, trend-setting makeup artist Pat McGrath launched her cosmetics line in 2015, the beauty community erupted with excitement. Pat McGrath Labs made waves as a luxury beauty brand built on the understanding that catering to melanated complexions is a baseline, not a buzzy add-on or fleeting trend. Nearly a decade later, McGrath is once again making headlines, and beauty lovers’ group chats are buzzing as reports circulate that the brand is preparing for a potential sale.
Recently, a Pat McGrath Labs spokesperson told Women’s Wear Daily that the company is “going through restructuring and recapitalization processes,” adding that the brand is currently being marketed for sale.
According to the outlet, the makeup artist’s eponymous brand is working with “its partners to align its financial framework with the enduring strength and creative leadership of the brand.” With support from Hilco Global, the sales process is expected to include collateral for McGrath and Pat McGrath Cosmetics LLC and is anticipated to be completed in 2026.
The news follows years of challenges for the brand, which is sold at Sephora and Ulta Beauty, including sluggish sales, executive shakeups, layoffs, and operational shifts. While McGrath herself continues to ascend professionally, most recently leading Louis Vuitton La Beauté, Pat McGrath Labs has faced mounting pressure. Firms like Eurazeo Brands, which committed $60 million in funding in 2018, have since quietly exited their stakes in the company.
“These processes, expected to be completed in early 2026, along with a strong pipeline of innovation, the commitment of its partners, and the unwavering support of its passionate global community, will allow Pat McGrath Labs to move forward in a productive and healthy environment,” the spokesperson added. “The good news is, from the beginning of this year, brand sales are up significantly and Pat McGrath Labs is feeling great momentum going into the new year.”
Still, longtime fans say they’ve noticed subtle but telling shifts. From deep markdowns at select retailers to reduced in-store availability, consumers began noticing a familiar pattern that many recognize as the end of a beauty brand, particularly a Black-owned beauty brand. The slow disappearance from physical storefronts, limited inventory, and steep discounts raised concerns about the brand’s long-term future.
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So much so, that even veteran beauty content creator, Jackie Aina Asamoah, was concerned about the brand’s future and stocked up in fear of it becoming discontinued.
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Ultimately, much like the recent closure of Ami Colé earlier this year, the reported sale and quiet pullback of investment underscore a persistent industry problem: Black beauty brands often struggle to receive the sustained financial backing necessary to thrive. While consumer loyalty is critical, it’s only one piece of the equation. In an increasingly crowded and competitive beauty market, long-term survival also depends on consistent, committed business support.
Now, only time will tell what happens to Pat McGrath Labs.
