Pat McGrath Labs enters bankruptcy

The beauty empire is wobbling.

Pat McGrath Labs, the brand founded by iconic make-up artist Dame Pat McGrath, has officially entered bankruptcy under Chapter 11 of US law. The news shocked the industry. It came just two days before an auction where the company planned to sell its assets. However, that process has now been suspended. While this does not mean the brand is ending, it does confirm that it has been in financial trouble for some time.

Meanwhile, speculation had already been growing. This was especially true after Pat McGrath became Creative Director of Make-up for La Beauté, Louis Vuitton’s new cosmetics line. To many, this suggested something was changing behind the scenes. Then, on Sunday, those doubts were confirmed. The company now needs to reorganise its finances to keep operating. In simple terms, Chapter 11 is a way to pause and fix the business, not close it.

However, the impact of this news goes beyond the numbers. Pat McGrath Labs is one of the most respected names in modern beauty. It is known for its strong runway influence and for cult products like the famous Gold 001 pigment. That small pot of gold became a symbol of bold creativity. The brand also did something rare: it brought professional make-up to everyday people without losing its luxury feel.

Now, Pat McGrath Labs joins a growing list of beauty brands trying to survive through restructuring. These include Malin + Goetz and Saks Global. As a result, even the biggest names in beauty and fashion are feeling the pressure. Chanel, Kering and LVMH have all been affected by the collapse of Saks Global.

Chanel, Kering and LVMH among the biggest casualties of Saks Global’s bankruptcy.