Ulta Beauty, Inc. ( ULTA ) made a strategic move into the United Kingdom on Thursday by acquiring leading British beauty retailer Space NK Limited.

The U.S.-based cosmetics giant announced that it purchased Space NK from investment firm Manzanita Capital, which specializes in backing beauty brands.

Terms of the acquisition were not disclosed. However, the company mentioned that the transaction was funded through Ulta’s existing credit lines and cash reserves.

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Ulta’s cash and cash equivalents at the end of the first quarter of fiscal 2025 totaled $454.6 million.

It is not expected to have a significant impact on Ulta’s fiscal 2025 financial performance or ongoing capital deployment strategies, such as its share repurchase program.

Space NK currently operates 83 retail locations across the UK and Ireland and maintains a strong online presence.

The brand is recognized for offering a carefully curated selection of innovative beauty products and is widely regarded as a top destination for premium cosmetics.

Following the acquisition, Space NK will continue to function independently under its existing leadership, including CEO Andy Lightfoot.

Kecia Steelman, Ulta’s president and CEO, said the deal aligns with the company’s broader “Ulta Beauty Unleashed” international growth initiative.

She noted that adding Space NK to Ulta’s portfolio allows for an immediate foothold in the growing UK beauty market, which complements ongoing expansion efforts in Mexico and the Middle East.

“Along with our initiatives in Mexico and the Middle East, we are creating a broader platform for Ulta Beauty ( ULTA ) to unlock long-term, profitable growth,” Steelman said, expressing optimism about leveraging Space NK’s local expertise and loyal consumer base.

She emphasized that the acquisition presents a unique opportunity to scale internationally while building on Space NK’s premium retail model.

Price Action: ULTA shares are trading higher by 0.33% to $476.99 premarket at last check Thursday.

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