Online retailer Beauty Bay is considering its options, including a sale after hiring bankers, according to reports.
The retailer, which was also eyeing an IPO last year, has appointed US-based Threadstone Capital to consider its options, Sky News reported.
Threadstone Capital is the corporate finance firm that advised Cult Beauty on its £275m acquisition by THG in 2021.
Beauty Bay, which was founded more than 20 years ago by brothers Arron and David Gabbie, offers products from brands such as Anastasia Beverly Hills and The Ordinary and sells them to its customers.
Based in Manchester, it has seen a surge in sales during the Covid-19 pandemic as Britons have turned to spending online.
Beauty Bay is now looking to capitalize on the accelerated shift of beauty and skincare sales to digital channels.
City sources said Beauty Bay is considering a full or partial sale to new investors, but may consider acquisitions as part of its growth strategy.
Sky said Beauty Bay, which would be debt-free, was unlikely to revive the prospect of an initial public offering, which it had planned last year.