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Following in the footsteps of Carol’s Daughter being bought by L’Oreal last year, another popular hair company that caters to black women and men has made some big changes.

Sundial Brands, LLC is the company behind the SheaMoisture and Nubian Heritage brands. It has been family owned since 1992, and was co-founded by Richelieu Dennis.

According to the Wall Street Journal, private equity firm Bain Capital is now a minority stake owner in Sundial. Although financial information about the merger has not been made public, Sundial is reportedly valued at $700 million and has annual revenue of about $200 million.

From the Wall Street Journal:

Sundial’s sales have been largely in the U.S. and the products are predominantly purchased by African-Americans. Bain’s investment is aimed at boosting growth by targeting a broader market that isn’t defined by ethnicity, said Ryan Cotton, a Bain managing director. The investment also will allow some existing shareholders to cash in, a person familiar with the matter said.

Expanding beyond Sundial’s core customer base may require a balancing act. Earlier this year, Sundial’s SheaMoisture brand drew criticism from some of its African-American customers on social media after the company put out a meme on Twitter with the image of a Caucasian toddler. “We will make sure we are serving our core customers while engaging with a broader audience that’s interested in natural products and healthier ingredients,” Mr.Cotton said.

Sundial will retain a majority stake in the company.

Image Credits: Sundial

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  • folamix

    Money talks

    • Rizzo

      Gordon Gekko said: “The point is ladies and gentlemen that greed, for lack of a better word, is good.”

  • roo08

    The ads featuring the white children was pretty much a heads up to the direction the company was planning to go. Over time, their products will likely be filled with cheap ingredients and watered down formulas and the “general” population they will target it at will not even notice.

    Time to stock up on their products if you use them regularly. This happens to so many indie skin/hair care companies that get big but it’s always money going into white pockets.

    • mmmdot

      “Over time, their products will likely be filled with cheap ingredients and watered down formulas and the “general” population they will target it at will not even notice.”


  • Pema

    That’s too bad. I really like Shea Moisture products and I’m sure they’re going to go downhill just like Carl’s Daughter.

  • aww this sucks I love Nubian heritage and Shea moisture. I’m sure the next step is the market towards yt and dilutes their formulas ( sigh)

  • mmmdot

    …So this is JUST the beginning of THIS company being destroyed. What next, changing and compromising the ingredients in the products? They couldn’t just have these white mofos buy MINORITY stake in the company WITHOUT trying to CONTROL the company itself and dictate that the product line to now cater to whites? Dafuq? I will NO LONGER be purchasing products from this company until and unless I hear these white supremacist corporate vampires have retracted their fangs i.e.retract their financial stakes and/ or relinquish the idea that they should CONTROL their product offerings and mission of this of this company.