Revolution Beauty Group PLC (AIM:REVB) shares surged 22% to 5.24p on Friday after the AIM-listed cosmetics company announced that the Financial Conduct Authority has closed its investigation into the business and will take no action against the company or its founders.
The FCA had launched its investigation in July 2023, covering both the company and its co-founders, Adam Minto and Tom Allsworth.
In November 2024, Minto and Allsworth were individually informed that the regulator had discontinued its inquiries into them personally and did not intend to take action, but the investigation into the company itself continued until now.
The FCA has confirmed the remaining investigation is closed.
Revolution Beauty said it had cooperated fully with the regulator throughout the three-year process and had implemented a wider range of governance improvements and best-practice measures in response to comments received.
Chairman Iain McDonald said the timing of the news was particularly fitting given that Minto and Allsworth had recently returned to active involvement in the business, and that early signs of the new strategy were encouraging.
The closure removes one of the most significant overhangs that has weighed on the stock since the company's troubled period following its 2021 AIM listing, which was followed by accounting irregularities, boardroom upheaval, and a prolonged period of strategic uncertainty.
Revolution Beauty, which sells colour cosmetics and skincare products through major retailers and online channels, has been working to rebuild investor confidence under its current management structure.
