Losses: Chrysalis Investments accused Revolution Beauty of ‘deception, negligent misstatement and/or misrepresentation’
One of Revolution Beauty’s former investors has escalated his legal battle after accusing the makeup company of “deception.”
Chrysalis Investments took a £45m stake in the company in July 2021, but sold the shares in 2022 for just £5.7m after its value collapsed.
The investor has since accused Revolution Beauty of “deception, negligent misstatement and/or misrepresentation” at the time of the stock purchase.
And in an update yesterday, Chrysalis said it is “not satisfied with the limited responses received from Revolution Beauty and its legal counsel to date.”
Chrysalis is bringing a £39m claim against Revolution, plus a further £6.2m claim for “consequential losses”.
Revolución said it “firmly contests” the allegations and will consider a response with its own lawyers. The shares plunged 11.8 per cent to 27.25 pence yesterday, taking losses since listing in 2021 to 84 per cent.