The Honey Pot Inks $380 Million Deal With Compass Diversified

Compass Diversified, a publicly traded investment and holding company, has announced that it will take a majority stake in feminine care brand The Honey Pot. The deal, estimated to be worth $380 million, will close in February.

Beatrice Dixon and her brother Simon Gray founded the Honey Pot, a plant-based feminine hygiene line created to provide women with healthy alternatives to feminine care in Atlanta in 2012. Today, the company offers a complete feminine care system – powered by plant-derived ingredients and clinically tested formulas – with diverse products across the feminine hygiene, menstrual, consumer health, and sexual wellness categories.

The line’s tampons, pads, and feminine wash were created without fragrances or parabens. First sold at Whole Foods, The Honey Pot is now available in over 33,000 retail doors across the U.S., including Target, Walmart, Walgreens, CVS, and online.

The Honey Pot Co.’s disruptive stance is not just about selling products; it is a movement to empower consumers to embrace their bodies and overall well-being. The Honey Pot Co.’s innovative philosophy revolves around “normalizing the normal,” breaking barriers in a traditionally stagnant consumer packaged goods category, and redefining the narrative around personal care.

What They Are Saying

“We are excited to embark on this partnership with CODI, a firm that aligns seamlessly with our values and is dedicated to championing our vision of destigmatizing feminine care through accessible products and promoting holistic wellness, both inside and out,” said The Honey Pot Co.’s Co-Founder, Beatrice Dixon, who will continue to lead the company in her current role as CEO and Chief Innovation Officer. “We believe this partnership will enable us to sustain our commitment to innovation and education and empower us to continue cultivating a movement rooted in community and self-care.”

Ms. Dixon added, “I continue to be humbled by the journey of The Honey Pot Co., and I hope that both the creation of this business and where it stands today serve as a reminder that while doors are often closed, there is always space for passionate and visionary entrepreneurs. That space doesn’t have to be explored alone, either. Partnerships and investments, both big and small, enable the opportunity for your business to blossom and reach its full potential. We want to thank our prior investment partners, New Voices Fund and VMG Partners, for allowing us to do just that and for their tremendous trust and support as we have expanded our business to reach more humans in the past five years.”

The CEO of Compass Diversified, Elias Sabo, commented: “Beatrice and her team have done an amazing job building The Honey Pot Co. into a leading feminine care brand with distinctive category ownership and unique brand positioning. They have a strong leadership team, a productive line of products, and a track record of impressive innovation and category disruption. We believe they have tremendous growth opportunities on the horizon. This partnership is a testament to the importance of brands built on dedication to innovative products and fostering community. We are excited to provide The Honey Pot Co. with the resources necessary to bring it closer to its goal of serving more people by being the world’s number one ‘better-for-you’ personal care brand.”

The Next Steps

The acquisition is expected to close in February, subject to customary closing conditions. Dixon will remain at the helm as the brand’s CEO and chief innovation officer. The existing leadership team will continue in their positions with a “significant minority stake” in the company, according to Compass. Previous investors included the New Voices Fund and VMG Partners.

In 2023, The Atlanta-based company saw $121 million in gross sales, according to a presentation by Compass on the deal. Compass also reported that the brand has a 4.5 percent household penetration; Nielsen ranks The Honey Pot as retail’s fifth-largest feminine care brand. The feminine care brand founder, Beatrice Dixon, was listed on UrbanGeekz’s 50 lists in 2023.

Richelieu Dennis’s $100 million New Voices Fund was pivotal in leading the deal following its initial investment in the brand, which was announced in 2018 at the ESSENCE Festival of Culture. The New Voices Fund has generated exits well north of $1B, and The Honey Pot deal is the second NVF transaction in the past 12 months of Black women-founded companies.