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Zoe Foster-Blake’s skincare range suffers a NEW $100M nightmare as major backers post crippling losses, and the beauty mogul’s hopes of cashing in look shaky
- Foster-Blake suffers another blow to the skincare empire
- Major backer bleeds $100 million and risks staying afloat
- Zoe’s hopes of getting more cash seem doubtful
Businesswoman Zoë Foster-Blake has taken another huge financial hit with the major shareholder of her Go-To skincare range posting a $100 million loss.
Foster-Blake sold 51.5 percent of the business she founded to beauty conglomerate BWX for $89 million in 2021, and was expected to sell her remaining stake to the same company for a similar amount.
However, the value of his part was scored for $30 million in December after BWX posted a staggering $336 million loss during the 2021-22 fiscal year.
And now, BWX has revealed that it bled another $100 million in the first half of the current fiscal year with the resignation of the company’s CEO, Rory Gration.
The latest loss is expected to severely reduce the value of Foster-Blake’s 48.5 percent stake in Go-To again, with BWK retaining the option to buy its stake, the Sydney Morning Herald informed.
The coup comes after Foster-Blake and her husband, Gold Logie Award-winning comedian Hamish Blake, have just bought a third luxury mansion since moving to Sydney after debuting on AFR’s Rich Young List. .
Zoe Foster-Blake, who debuted on AFR’s Rich Young List in 2020 with her brand Go-To (above), has seen her skincare business seriously undervalued with a $30 million hit last December and now a loss of $100 million for the main shareholder of the brand.
Foster-Blake (above in January) chilled with her husband, Logie Award-winning comedian Hamish Blake, in Watsons Bay near their $8.9 million Vaucluse mansion, one of three luxury homes they reportedly bought since who moved to New South Wales.
The 42-year-old was photographed last month relaxing with her Lego Masters Australia host husband and their two children in Watsons Bay, near the $8.93 million Vaucluse mansion they bought in late 2020.
This was around the time that Foster-Blake made the Australian Financial Review’s young rich list and moved his family from Melbourne to be closer to his business.
The celebrity couple also bought a house in Jamberoo on the south coast of New South Wales for $4.3 million last year and have reportedly shelled out another $8.4 million this year for a new home in Mosman.
Foster-Blake established Go-To to sell ‘no false science or nonsense**’ beauty products that provide ‘no-fuss skincare that really works’.
Skincare entrepreneur Zoe Foster-Blake (above with her husband, comedian Hamish) has taken an additional $100 million hit on top of the $30 million writedown of her Go-To holdings last December .
The beauty mogul’s hopes of selling the remaining half of her stake in Go-To for more than $80 million are being hit hard by sponsor BWX’s ailing ability to stay afloat.
The future of the skincare brand’s top shareholder is now in doubt after an auditor’s note on BWX’s latest financial results, in which PwC chief risk officer Nadia Carlin addressed concerns about the “material uncertainty” of the company.
On Monday, BWX, which is also behind the labels Sukin, Flora & Fauna and Nourished Life, announced the departure of Gration as chief executive after more than four and a half years, to be replaced by Coles executive Thinus Keeve.
BWX’s latest restructuring came after it lost its chief financial officer last year and was temporarily delisted from the Australian Stock Exchange. reported the Herald.
Former beauty journalist Ms Foster-Blake has built a skincare empire that promises ‘no fake science or bullshit**’
A hydrating sunscreen sold by Go-To
Company-wide financial weaknesses resulted in BWX slashing Go-To’s overall valuation by $73 million.
That was $100 million less than Foster-Blake’s brand value in 2021, when BWX first acquired its majority stake.
Foster-Blake, a former beauty journalist and wife of comedian and radio host Hamish Blake, founded Go-To after reviewing “millions” of products, her website says.