Francois Henri Pinault’s Kering Beauté has made its first major acquisition for its newly established division with purchase of Creed.
Kering Beauté will acquire 100 percent of the luxury fragrance house controlled by BlackRock Long Term Private Capital Europe and chairman Javier Ferrán in an all-cash transaction. The financial terms of the deal were not disclosed.
The acquisition is designed to boost Kering’s authority and expertise in high-end fragrance, Jean-François Palus, group managing director of Kering, said in a statement.
“We see a very compelling rationale and mutual strategic benefits in terms of expertise, network and geographical footprint,” Kering Beauté CEO Raffaella Cornaggia added.
The move comes as investor interest in the booming high-end niche fragrance market remains high: following Puig’s purchase of Byredo last year, there have been a string of M&A deals within the space. Most recently, Advent International acquired a majority stake in Sprecher Berrier Group of Companies, the owner of niche fragrance labels Parfums de Marly and Initio Parfums Privés.
In recent years, Creed has seen double digit growth and “very high EBITDA margins,” the companies said in a statement. Revenues for the year ending March 31 exceeded €250 million.
Stay tuned to BoF for updates on this developing story.
Stay connected with us on social media platform for instant update click here to join our Twitter, & Facebook
We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.
For all the latest Fashion News Click Here
