The eponymous skincare brand founded by Indi Lee in 2010 has been acquired by parent company American Exchange Group, which is making a bigger statement in the beauty space.
Sold at Ulta Beauty, Blue Mercury, Credo Beauty, and Nordstrom, the “clean” skincare line bills its products as “rooted in nature and backed by science,” with prices ranging from $16 for the salicylic acid-infused Vanish Stick to $135 for the Stem Cell Serum.
“Adding Indie Re to our portfolio will enable us to invest the capital we need for growth. [Lee’s] “We believe we can get this message across, reach new consumers and expand the brand quickly,” said Josh Carson, senior vice president of new business development at AEG, adding that “new product development will be a big focus for this business.”
Financial terms of the transaction were not disclosed.
The Indy Lee purchase marks the second beauty acquisition by AEG, which also owns Aerosoles, Adrienne Vittadini and Ed Hardy. Last year, the company bought Hatch Collective (now AX Beauty Brands), which was founded in 2009 and owns brands such as NatureWell, Orlando Pita Play, Texture and Paint & Petals.
Kilson said accelerating product development for these brands — in some cases “shortening timelines for trend-driven products to four to six months instead of waiting 12 to 18 months” — has been key to growing these businesses.
One of the goals of the partnership is to increase the frequency of Indy Lee’s new product launches from once a year currently (a CoQ-10 cleanser that also contains papaya and cucumber extracts will be launched in 2024) to twice a year.
Indie Lee Skincare. Courtesy of Indie Lee
“We are able to recapitalize this business, fund clinical trials, source suitable raw materials on a compressed timeline and fill identified gaps,” Kilson said.
“What I like about this relationship is [AEG] “We’re not trying to change the brand, we’re just trying to expand where we can go from here,” Lee said, adding that “it’s been a tough year…” when it comes to launching new products.[AEG] He came to me when we were trying to figure out how to run the business.”
Lee founded the brand in 2010 after undergoing surgery for a brain tumor, which prompted him to rethink the safety and environmental impact of the ingredients he puts on his face and body. One of the earliest “clean” beauty brands, Indy Lee is “a brand that speaks to psychographics, not demographics,” its founder said. “We’re not just about the goo in the bottle, but the larger impact it has on the ecosystem.”
That ethos has attracted a wide range of consumers across Gen Z, millennials and Gen X, a key draw for the brand for AEG. “We’ve been pleasantly surprised by the diversity of Indy’s consumer base. She’s sold millions of products over the last eight to 10 years,” Carson said.
This summer, Lee had a second brain tumor removed. Through her battle with health issues, the founder doubled down on her commitment to “autoimmune disease advocacy and the impacts of hustle culture and burnout on the skin and overall body.” I think the brand has been given permission to engage with the community on a deeper level than just talking about what we put on our skin.
“I feel like I’ve got my life back,” Lee said. “It’s funny. I don’t think a lot of people get to experience this every 15 years, but 15 years ago I woke up, started a company, and now 15 years later I’ve woken up with a new family. It’s a very exciting next chapter.”
