THG plc, formerly known as The Hut Group, has agreed to acquire skincare brand, Biossance, for a maximum consideration of $20m (£15.8m).

The California-based company, which produces a range of cleansers, creams and serums valued is being purchased from US biotechnology group, Amyris Inc, which has recently started voluntary Chapter 11 proceedings.

As a result of the acquisition, UK-based THG will acquire Biossance assets, including intellectual property, and inventory and debtors with a book value of $29m (£23m).

Since its inception in 2015, Biossance has generated global revenues of approximately $300m (£237.7m) and has products stocked in over 1,600 sotres globally, including Harrods, Sephora, Space NK and Selfridges, as well as online stores through its website, Lookfantastic and Cult Beauty.

The closing on the deal is expected later this month, with integration set to be complete in Q1 2024.

Chief executive officer at THG, Matthew Moulding, said: "We are delighted to acquire the pre-eminent skincare brand Biossance. The technology-led, clean chemistry formulations resonate with consumers globally, evidenced by a strong performance on our own retail sites.

"We have significant experience in prestige skincare as an innovator and manufacturer, and through our own brand portfolio including Perricone MD and ESPA. We're incredibly fortunate and excited to secure this opportunity to work with the Biossance team and further build on the brand's strong awareness across the US.

"The fit within THG is perfect, with Biossance already generating c. $2m (£1.58m) in revenue across our retail sites in the past 12 months. Integration on to the Ingenuity platform will commence as soon as the deal is finalised."

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