Gail Federici, the owner of Color Wow, is looking to find a buyer for the popular haircare brand that she founded over a decade ago, in a deal that could value the company at about $1 billion, according to people familiar with the matter.
Federici, a serial entrepreneur and a 35-year veteran of the haircare industry, tapped boutique investment bank Houlihan Lokey (HLI.N) to evaluate takeover interest, the sources said, requesting anonymity as the deliberations are confidential.
The talks are at an advanced stage, the sources added. Potential acquirers include consumer products makers and private equity firms, the sources said.
Federici and Color Wow did not respond to requests for comment. Houlihan Lokey declined to comment.
Federici is a veteran in the haircare industry, having previously co-founded John Frieda Professional Hair Care with John Frieda. The duo sold the company in 2002 to Japan's Kao Corporation for $450 million.
Color Wow, launched by Federici in 2013, is known for its products for colored hair like Root Cover Up and Dream Coat. The brand generates around $300 million of annual revenue, one of the sources said.
Federici's twin daughters, Alex and Brit Smith, also have roles at the company.
