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Dame Pat McGrath will serve as chief creative officer as new products roll out in 2026.
February 18, 2026
By: Melissa Meisel
A private equity firm, GDA Luma, is saving the day at Pat McGrath Labs. As reported in Happi, the beauty brand filed Chapter 11 bankruptcy last month.
GDA Luma’s financing in the recapitalization of Pat McGrath Labs was approved in court in Miami and marks the beginning of a new phase of “strong stewardship and long-term growth” for the beauty brand, it contends.
Founder Dame Pat McGrath will remain a significant equity owner and continue as chief creative officer. Read our interview with Pat here from when she started the company in 2017.
According to the finance company, “Pat McGrath Labs is a house built on audacious artistry, cultural relevance, and singular creative vision — one that has shaped the modern beauty conversation for over a decade. GDA Luma undertakes this investment with profound respect for that legacy, combined with the operational discipline and strategic perspective of an experienced global investor with a proven track record of repositioning iconic brands for enduring success.”
As senior secured creditor, GDA Luma has committed up to $10 million in new Debtor-in-Possession financing, together with a further commitment of at least $20 million in post-emergence working capital. In aggregate, the transaction provides up to $30 million of fresh capital to support the company throughout its Chapter 11 process and to ensure stability and momentum upon emergence.
The company looks forward to an “exciting pipeline” of product launches beginning in the first quarter of 2026. Look out for a deep dive into the color cosmetics marketplace in the March 2026 Happi!
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