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L'Oréal Closes €4 Billion Kering Beauté Deal, Secures 50-Year Brand Licenses

Decades-long licenses lock in Kering royalties, expanding L'Oréal's luxury reach.

Overview

  • L'Oréal completed the purchase Tuesday for €4 billion in cash, taking over Kering Beauté and the House of Creed.
  • The alliance includes 50-year exclusive licenses for Bottega Veneta and Balenciaga fragrance and beauty lines.
  • Gucci beauty rights will shift to L'Oréal only after Coty's existing license expires, honoring Kering's current contract.
  • Competition authorities cleared the agreement before closing, and L'Oréal will pay ongoing royalties to Kering.
  • The companies are exploring a wellness and longevity joint venture, as the beauty sector sees major consolidation reported by WWD.