Waldencast Finalizes Obagi Sale, Unveils Post-Transaction Financials and Leadership Reshuffle
WALD has more than doubled off its 52-week low of $0.72.
Summary
Waldencast completed the Obagi Medical sale, receiving $334M net cash and fully repaying its debt. Pro forma financials show a post-sale company with $110M in revenue and a $102M net loss. The CEO, CFO, and Chief Growth Officer departed to Obagi, leaving Executive Chairman Felipe Dutra as interim leader.
Key Events · M&A and Partnerships · WALD
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Obagi Sale Closed
The Obagi Medical sale was completed for total estimated consideration of $380M, comprising $334.4M in net cash, $21.8M in vendor notes, and $20.8M in earnout fair value.
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Post-Sale Financials Revealed
Pro forma continuing operations reveal 2025 revenue of $110.4M and a net loss of $102.2M. Cash stands at $143.4M, total equity at $419.3M, and all debt has been repaid.
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Executive Team Departs
CEO Michel Brousset, CFO Manuel Manfredi, and Chief Growth Officer Hind Sebti have transitioned to Obagi Medical. Executive Chairman Felipe Dutra assumes the role of principal executive and financial officer.
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Debt Fully Repaid
A total of $178.4M was used to repay the senior term loan, derecognizing $135.8M in debt and $11.8M in embedded derivatives, which resulted in a $30.8M loss on extinguishment.
Analysis · WALD · Industrial Applications And Services
With today's closing of the Obagi Medical sale, Waldencast transforms into a pure-play Milk Makeup company. The pro forma financials paint a picture of a leaner but still loss-making entity, posting $110M in revenue against a $102M net loss from continuing operations for 2025. The transaction delivered $334M in net cash, fully retired the senior term loan, and left $143M in cash on the balance sheet. Yet the simultaneous exit of the CEO, Chief Growth Officer, and CFO to Obagi Medical creates a leadership vacuum—Executive Chairman Felipe Dutra now steps in as principal executive and financial officer. Adding to the pressure, $23.5M in compensation costs tied to the sale further weigh on retained earnings. While the balance sheet is now debt-free, the company must demonstrate it can profitably scale Milk Makeup under new leadership.
At the time of this filing, WALD was trading at $1.85 on NASDAQ in the Industrial Applications And Services sector, with a market capitalization of approximately $223.6M. The 52-week trading range was $0.72 to $3.22. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.