Neom set to open more stores after gaining private equity backing

A BEAUTY and wellbeing brand plans to open more stores and expand its product range after securing growth capital from a major private equity firm.

Piper, the specialist investor in consumer brands, has taken a significant minority stake in Neom Organics, which was founded in 2005 by friends Nicola Elliott and Oliver Mennell.

Ms Elliott, who is a former editor of Glamour magazine, quit journalism to train as an aromatherapist and nutritionist before founding Neom with former investment analyst Mr Mennell, to focus on improving people’s wellbeing through home fragrances and skincare. The brand name is an acronym of their initials.

Neom products claim to relieve stress, aid sleep, boost energy or lift mood by using natural fragrances. Neom, which is based in Harrogate, is a multi-channel business which employs 50 people. Retail sales have grown by 35 per cent this year to reach £18m.

Its home fragrance and skincare ranges are sold through department stores such as John Lewis, Selfridges and Fenwick in the UK and international stores including Isetan in Japan.

Neom has an online business and three of its own retail stores – two in London and one in Leeds – with further openings planned.

Piper’s investment in Neom will provide the funding to enable the business to expand its product range, develop the senior team, open new stores and increase its international footprint.

Piper was advised by Sammy Hill and Simon Hewes from Womble Bond Dickinson, Tom Hayes from Sentio and Matthew Wiseman from Catalyst Corporate Finance.

Neom was advised by Dahren Naidoo from Freeths and Paul Land from TLP.