Revolution Beauty comes to settlement agreement with former investor

Revolution Beauty has announced entry into a confidential settlement with Chrysalis Investments Limited after it was met with a legal challenge from the former investor at the beginning of 2024.

In January last year, Chrysalis said it had potential claims against Revolution due to “causes of action of deceit, negligent misstatement and/or misrepresentation”. The firm brought forth a pre-action letter addressing the around 45 million pounds in shares it purchased from the beauty brand in 2021, which it later sold in 2022 for approximately 5.7 million pounds.

During this period, Chrysalis claimed there had been misstatements and material omissions from the company and, upon not receiving a response to its enquiry regarding such allegations, opted to retain lawyers.

Responding to the legal challenge at the time, Revolution said it strongly contested the claims brought by Chrysalis, and expressed an intention to engage with the firm’s advisers. Chrysalis did not and has not filed any claim with the court.

The duo have now come to an agreement without any admission of liability by either party, and Chrysalis will not move forward with any claim against the company. Revolution did note that it had agreed to pay the firm a non-material sum which it said would have no material impact on its financial and cash position.