L Catterton has combined beauty retailers Bel Cosméticos and Mundo do Cabeleireiro to form a multi-brand beauty retail platform in Brazil.

The US investment company said the integration creates the country’s “largest” multi-brand speciality beauty retail platform, operating more than 130 stores across several major Brazilian states.

The deal connects two long-established regional retailers whose footprints slightly overlap, with L Catterton describing their positions as “complementary”.

Following the combination, the company plans to broaden its offering across haircare, skincare, cosmetics and fragrances, spanning multiple price points, as it seeks a stronger nationwide presence in Brazil’s specialist beauty retail sector.

It also intends to invest in omnichannel operations, digital systems, and loyalty schemes to better connect its store network with online sales.

L Catterton Latin American fund managing partner Ramiro Lauzan said: “We are excited to bring Bel and Mundo together to build the first truly national 'beauty destination' in Brazil."

With a larger network and expanded reach, the company said it expects to offer suppliers a more uniform route to market, supporting new product launches and wider distribution.

Celso Moraes, co-founder of Mundo do Cabeleireiro, will take on the role of chief executive.

Bel Cosméticos founder Ivo Barbosa and Mundo do Cabeleireiro co-founder Marina Moraes will join the board and remain active in the business.

As part of the transaction, Vinci Compass’s NEIII Fund is selling its entire holding in Mundo do Cabeleireiro.

Lauzan added: “Ivo, Celso, and Marina have built exceptional businesses in their respective regions. By combining their strengths and leveraging our global beauty expertise, we believe the merged company is well-positioned to become the partner of choice for both consumers and suppliers across the country."