SkinSpirit Announces Investment from KKR

Rhea-AI Summary

SkinSpirit, a top U.S. provider of aesthetic skin and body care, has secured a minority investment from KKR to bolster its market presence and enhance talent development. Founded in 2003, SkinSpirit has expanded to 31 locations, tripling its clinics since 2018. The investment is part of KKR's Health Care Strategic Growth Fund II, aimed at high-growth health care firms. CEO Lynn Heublein emphasizes a people-first approach to service and growth. KKR sees long-term growth opportunities in the medical aesthetics sector, and GreyLion will remain a minority owner in the company.

Positive

• KKR's minority investment is expected to provide substantial resources for SkinSpirit's growth and brand expansion.
• SkinSpirit has significantly increased its clinic count, growing from 10 in 2018 to 31 locations, indicating strong market demand.
• The company's commitment to a people-first culture supports employee development and service excellence.

Negative

• None.

Investment to accelerate national growth and talent development

SEATTLE--(BUSINESS WIRE)-- SkinSpirit (“SkinSpirit” or the “Company”), a leading provider of aesthetic skin and body care in the U.S., today announced that it has received a minority investment from KKR, a leading global investment firm. The investment will be used to help the Company further reinforce its position as a highly trusted brand in the medical spa category and will provide additional resources to support its people-first culture. CEO and co-founder Lynn Heublein, a credentialed and successful entrepreneur and pioneer in the medical spa industry, will continue to lead the Company, guiding brand expansion, vision, and culture.

SkinSpirit was founded in 2003 in Palo Alto, California and today is a leading provider of Botox^® Cosmetic and dermal fillers in the U.S., with 31 skin care clinics nationwide. SkinSpirit has more than tripled the number of clinics that it operates since 2018 and has more than doubled that number since 2020. The Company recently added clinics in Dallas, Denver, New York City’s Upper East Side and Washington D.C.’s Georgetown neighborhood, and plans to open more new locations in 2023.

“A shared growth mindset is at the heart of our Company,” said Heublein. “With KKR’s strong support, SkinSpirit will continue to grow with an eye toward offering best-in-class services to our clients across the country and providing our renowned teams with advanced learning and development, industry-wide leadership opportunities, and continuous improvement through unique initiatives such as our employee advisory boards.”

KKR is investing in SkinSpirit through its Health Care Strategic Growth Fund II, a fund dedicated to investing in high-growth health care-related companies to which KKR can be a unique strategic partner in helping reach scale.

“We see long-term opportunities for growth in medical aesthetics, a category that we have tracked closely for several years,” said Ali Satvat, Partner at KKR and Global Head of KKR Health Care Strategic Growth. “Lynn and her team have built a differentiated platform that has earned the respect of providers and clients across the country.”

“SkinSpirit is positioned to continue growing in this fragmented market,” added Johnny Kim, Director at KKR. “We look forward to collaborating closely with Lynn and her talented team as they continue to scale the Company and its various offerings.”

David Ferguson, co-founder of GreyLion, a leading private equity firm that invested in SkinSpirit in 2018 and will remain a minority owner in the Company, said, “SkinSpirit’s leadership team have done a remarkable job driving the Company forward, creating a leading national brand in the aesthetics industry. We believe that the Company is uniquely positioned to capitalize on the strong and growing consumer preferences addressed by SkinSpirit’s product and service offerings. We are excited to welcome KKR as a strategic partner and look forward to working together with them and management as they execute their strategic growth plans.”

About SkinSpirit

Since opening in 2003, SkinSpirit has become one of the top destinations for aesthetic skin and body care in the country with locations nationwide. SkinSpirit brings together cutting-edge technology and premium services in a luxurious spa-like setting. SkinSpirit’s expertly trained medical professionals perform treatments and recommend products that deliver long-lasting, natural-looking results. For more information on SkinSpirit, please visit: https://www.skinspirit.com.

About KKR

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

About GreyLion

GreyLion focuses on investing in high-growth businesses in the lower middle market. We seek to partner with existing owners and management teams across the consumer, industrial, healthcare, software and services sectors to deliver capital in tailored and flexible minority and control structures. GreyLion invests $25-$125 million of capital per investment, primarily within the United States. We currently manage private equity funds with aggregate commitments of $1.7 billion.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221020005320/en/

SkinSpirit:

Victoria Voorhees

650-387-0214

vvoorhees@skinspirit.com

KKR:

Julia Kosygina and Emily Cummings

212-750-8300

media@kkr.com

GreyLion:

Jody Shechtman

(646) 475-3544

Jody@greylion.com

Source: SkinSpirit

FAQ

What type of investment did KKR make in SkinSpirit?

KKR made a minority investment in SkinSpirit to support its growth and talent development.

How many SkinSpirit clinics are there currently?

SkinSpirit currently operates 31 clinics across the U.S.

When was SkinSpirit founded?

SkinSpirit was founded in 2003 in Palo Alto, California.

What is KKR's investment focus in the health care sector?

KKR's investment focus includes high-growth health care-related companies through its Health Care Strategic Growth Fund II.

What are SkinSpirit's future plans after the investment?

SkinSpirit plans to open more locations in 2023, further expanding its presence in the medical spa category.