Celebrity-backed beauty brand caught up in Chapter 11 bankruptcy

Call it the plight of the influencer.

If a celebrity — especially one who did not get their start on social media — has a huge following they can, in theory, leverage that to sell products. That model has proven successful for numerous members of the Kardashian clan who turned their trainwreck/look at us type of celebrity into everything from clothing lines to Kylie Jenner's massive beauty brands.

Even Rob Kardashian, the J.D. Scott/Frankie Jonas/Luke Hemsworth of the clan, apparently has his own line of socks. But, unless you happen to be a Kardashian, simply having a huge social media following does not guarantee success.

Related: Beloved fast-food chain files for Chapter 11 bankruptcy

Sometimes products suffer from simply being bad or not filling a need in the marketplace. People buy gin from Ryan Reynolds and tequila from Sammy Hagar because both men seem like they would know what they're talking about in the spaces (and it helps that many Americans know very little about gin or tequila.)

Nobody wanted Nicky Hilton's hotel, Nicky-O, or Suzanne Somers' (may she rest in peace) line of home-cooked meals. The public similarly rejected 50 Cent's "Magic Stick" condom line and Hulk Hogan's PastaMania restaurant. 

But, when a celebrity hits a certain level of fame and amasses one of the largest social media followings, you generally expect the products to succeed. That was not the case, however, with R.E.M. beauty brand. 

Forma Beauty's bankruptcy plan 

Ariana Grande's brand was produced by Forma Beauty, a self-described incubator of "what's next" in beauty." What's next for the firm is apparently a self-packaged sale as part of a Chapter 11 bankruptcy filing. 

That filing included a deal for the company's creditors to acquire Formas's brand, which include Morphe and Jaclyn Cosmetics

“We will have additional financial resources available to invest in our multi-category portfolio, product launches, and innovative brand and marketing strategy as we advance our vision to inspire creativity, promote inclusivity, and connect with consumers around the world through beauty.” Forma Beauty President Simon Cowell, said in a press release.

Cowell, not the famous talent judge from various shows, did not point out that Grande's R.E.M. (also not tied to the more famous band that carries that name) was not part of that deal.

Forma exited Chapter 11 in April and, while it continues to struggle, having just laid off 23 workers, it has moved forward. Now, Grande — who spent $15 million in a court-approved sales — has brought back her R.E.M. Beauty brand.     

Ariana Grande tries to rescue her own brand

R.E.M. Beauty, a People for the Ethical Treatment of Animals (PETA) certified 100% vegan and cruelty-free brand, sells directly to consumers through its website. 

"I love makeup, I love how it makes me feel, I love how instrumental it is to my art and to one's sense of self and artistic expression. I want to help encourage others to feel even more beautiful, to create, to tell their stories creatively, and express themselves," Grande shared on the company's website. 

The company has also established a brick-and-mortar presence in the U.S. at Ulta Beauty ULTA and now, it's expanding its physical retail reach.

"R.E.M. Beauty, the highly anticipated beauty brand created by global superstar and Grammy winner Ariana Grande, is making its exclusive debut in Canada at Shoppers Drug Mart. The launch this week will bring over 200 different products to beauty enthusiasts across the country, available at 100 Shoppers Drug Mart locations and online at shoppersdrugmart.ca," Grande's company shared in a press release.

It's hard, of course, to say whether Grande's makeup line will be closer to what Kylie Jenner has achieved, or more like the Kardashian's pre-paid Mastercard or Natalie Portman's vegan shoe line, but at least the singer has saved it from bankruptcy.