Private equity firms are known for buying companies, restructuring them, and finding new ways to drive profitability. But lately, their attention has shifted beyond the usual targets of technology firms and fast-casual dining chains. Now, private equity (PE) firms are making big moves in luxury goods, beauty, hospitality, and sports franchises.^1,2,3,4

Luxury brands get a private equity makeover

Luxury brands have long been synonymous with heritage, craftsmanship, and exclusivity. PE firms are stepping in, looking to scale these brands, modernize operations, and expand their global reach.⁵

Recent deals show how PE firms are reshaping the industry:

• Regent acquired Swiss luxury brand Bally from JAB, and the deal is expected to bring a fresh strategy to the 173-year-old leather goods company.⁶

• Advent International purchased a majority stake in Zimmermann, the Australian fashion label, in August 2023 for over $1 billion. The brand, known for its high-end resort wear, is now positioned for further international expansion.⁷

• Marquee Brands took over British heritage brand Laura Ashley, aiming to reinvigorate its classic aesthetic and broaden its international presence.⁸

• L Catterton partnered with Italian fashion house Tod’s Group, gaining a 36% stake, strengthening its position in high-end footwear and leather goods.⁹ LVMH already owns 10% of Tod’s shares.¹⁰ Catterton is LVMH’s PE arm.¹¹

• SMCP Group, owner of Sandro, Maje, and Claudie Pierlot, has gone through multiple private equity hands, reflecting the long-term value PE investors see in mid-range luxury.¹²

Meanwhile, high-profile brands Versace and Jimmy Choo and Stuart Weitzman are reportedly up for sale, according to Women’s Wear Daily.^13,14

Brands often benefit from PE because it provides more than just capital — it often means strategic transformation. Whether through modernized supply chains, direct-to-consumer sales, or repositioning for a new audience, these deals can breathe new life into storied names. But with new ownership, consumers may see changes in pricing, product offerings, and even brand identity.

Read more: Private equity vs. public equity: What’s the difference?

PE firms double down on hotels and resorts

The hospitality industry has become another major target for private equity, with firms betting on long-term travel demand and premium experiences. Some of the most active PE players—such as Blackstone, KSL Capital, and Starwood Capital—are acquiring hotels, resorts, and boutique chains, looking to maximize revenue through expansion, premium amenities, and digital transformation.

Among the latest deals:

• Blackstone acquired UK-based Village Hotels from KSL Capital Partners in June 2024 for approximately $1.1 billion.¹⁵ The chain, which operates 33 hotels, will now be part of Blackstone’s broader European hospitality portfolio.

• Partners Group’s acquired Bluesea Hotels, a Spanish hospitality platform, including 25 hotels across Spain.¹⁶

• KKR and The Baupost Group purchased 33 Marriott International Hotels across the UK to leverage their presence in the market.¹⁷

• Oyo acquired G6 Hospitality, parent company of Motel 6 and Studio 6 brands, for $525 million, expanding its presence in the U.S. market with plans to add more than 150 Motel 6 and Studio 6 hotels this year.¹⁸

The strategy is clear: hospitality assets hold long-term value, especially as travelers demand more curated, experience-driven stays. PE-backed hotels may undergo renovations, introduce new pricing models, or invest in tech-driven upgrades like seamless digital check-ins.

Read more: Are dupes the new quiet luxury?

Private equity in the big leagues: Sports teams go corporate

Perhaps the most surprising private equity play is happening in professional sports. Historically, leagues like the NFL, NBA, and MLB resisted private equity ownership, but that’s changing fast. Recently, the NFL approved private equity firms taking minority stakes in teams, and European soccer clubs, NBA franchises, and Formula 1 teams are increasingly attracting PE dollars.¹⁹

Why the sudden interest? Sports franchises are proving to be highly valuable long-term investments. Team valuations have skyrocketed, with some clubs appreciating twice as fast as the S&P 500 between 1991 and 2022.²⁰ Private equity groups see this as an opportunity to professionalize team operations, expand global fan engagement, and tap into lucrative media rights deals.

And while much of the focus has traditionally been on men’s leagues, women’s sports are emerging as one of the fastest-growing investment opportunities. According to Deloitte’s 2024 report on women’s sports, global revenue for the industry was expected to exceed $1 billion for the first time, fueled by rising viewership, increased sponsorships, and stronger media deals. In 2025, Deloitte predicts an expanding group of investors, including PE, will take note.²¹

Private equity investors have taken notice. In 2023, the WNBA’s Phoenix Mercury and the NBA’s Phoenix Suns became the first U.S. teams to secure institutional investment through a private equity fund.21 Globally, firms are making moves in women’s soccer, tennis, and other fast-growing leagues. The business case is clear: engagement is surging, fan loyalty is strong, and corporate sponsors are eager to back these teams.

Beauty’s behind-the-scenes boom

PE isn’t just investing in beauty brands — it’s transforming the industry from the ground up. Instead of betting on the success of individual brands, firms are acquiring beauty manufacturers and formulators, the companies responsible for creating, developing, and producing products for multiple brands.²²

The demand for these behind-the-scenes businesses has surged as indie beauty brands multiply and speed-to-market becomes a competitive advantage. Private equity firms see an opportunity to consolidate a fragmented sector, streamlining production and providing brands with turnkey solutions.²³

Notable deals in the space include:

• KDC/One, one of the largest investors in beauty manufacturing, has made more than a dozen acquisitions over the past decade, creating a powerhouse in product formulation and development.²⁴
• Knox Lane acquired Elevation Labs in 2022, expanding its presence in premium beauty products and in April 2024, Elevation Labs acquired Boomerang Labs, broadening its offerings.²⁵
• TruArc Partners invested in Trademark Cosmetics, a formulator and manufacturer working with both established and emerging beauty brands.²⁶
• Core Industrial formed Cohere Beauty, merging Marianna Beauty, Arizona Natural Resources, Health Specialty Inc., and Contract Filling Inc. into a full-service manufacturing giant specializing in hair care, fragrance, and skincare.²⁷

Beyond consolidation, regulation is also playing a role in the beauty industry’s M&A wave. The Modernization of Cosmetics Regulation Act (MoCRA), the biggest change to U.S. cosmetics laws since 1938, is making compliance more expensive for small manufacturers. Many smaller players are choosing to sell rather than invest in new regulatory processes, making them prime targets for acquisition.²⁸

What it all means

Private equity’s latest shopping spree signals a shift in where big investors see opportunity. Luxury goods, hospitality, beauty, and sports franchises are industries with built-in brand loyalty, aspirational value, and significant pricing power. For consumers, this could mean improved products, services, and experiences — but also potential trade-offs, including rising costs or shifts in brand identity.

As evidenced by these deals, the biggest transformations are happening behind the scenes, whether in beauty, luxury brands, hotels, or the growing corporate presence in professional sports.