LaserAway is exploring a sale that could value the medical spa chain at more than $2 billion, according to people familiar with the matter.
The company, which is backed by its founders, Ares Management and Seidler Equity Partners, is working with investment bank Harris Williams on the sale process, which is at an early stage, the people said, requesting anonymity to discuss a confidential matter.
Ares declined to comment. LaserAway, Seidler, and Harris Williams did not immediately respond to comment requests.
Los Angeles-based LaserAway generates around $150 million in annual earnings before interest, taxes, depreciation, and amortization, two of the people said. It offers aesthetic treatments including laser hair removal, laser tattoo removal, skin rejuvenation, and injectables like Botox.
Private equity firms have been big investors in med spa chains, drawn to the recurring revenue from their customers who pay for repeat aesthetic treatments. General Atlantic just completed its take-private of European Wax Center in May and Stride Consumer Partners bought a stake in Peachy in April. Leonard Green & Partners owns Milan Laser while KKR has an investment in SkinSpirit.
LaserAway was founded in 2006 by Dr. Roy Winston and brothers Scott, Todd and Brock Heckmann. Its laser hair removal treatments range from $99 to $649 per treatment but it also offers treatment bundles and payment plans.
Ares made a significant minority investment in 2021 when LaserAway had 74 clinics. The company just announced its 219th location in May, calling itself the largest nationwide aesthetics and dermatology company in the country.
“The opening celebrates the company’s 20th anniversary, which takes place this year and reflects two decades of continuous growth without a single clinic closure, a rare achievement in retail and the medical aesthetics category,” the announcement said.
Source: Reuters.com