Inter Parfums, Inc. is raising its 2013 guidance and is now looking for net sales to come in at approximately $540 million resulting in net income attributable to Inter Parfums, Inc.
Discussing 2014, Jean Madar, chairman and CEO of Inter Parfums, commented, “We are looking for solid growth in both our European and US-based operations. Expectations remain high for our largest brands, Lanvin, Jimmy Choo and Montblanc. Also, new fragrances for Repetto and Boucheron begin rolling out this fall and we have major new product launches for Balmain and Karl Lagerfeld coming to market in 2014.”
On the subject of US-based operations, Madar noted, “In 2014, our sales should benefit from recently signed license agreements with Alfred Dunhill, Agent Provocateur and Shanghai Tang for which we have new product launches planned. We will also introduce fragrances for a number of our established brands, and reinvigorate existing lines with new packaging.”
Russell Greenberg, executive vice president and CFO, noted, “As a result of the current strong performance of our brands, we have raised our 2013 sales guidance to approximately $540 million. As we reported last month, during the second half of the year, we are investing heavily in promotion and advertising to bolster support for the aforementioned product launches and the continued worldwide development of our largest brands.”
In other news, InterPafums USA entered into an agreement to acquire certain assets of the fragrance division of Oscar de la Renta, LLC, the internationally renowned fashion house. Terms were not disclosed at press time.
Simultaneously, the firms entered into a worldwide and exclusive licensing agreement to create, produce and distribute perfumes and cosmetics under the Oscar de la Renta brand. Financo LLC acted as the financial advisor to Inter Parfums, USA, LLC in connection with this transaction.
The acquisition is expected to be completed by Dec. 2, 2013, when Inter Parfums will take over production and distribution of the existing Oscar de la Renta fragrance collections, which have been operated in-house at Oscar de la Renta since 2009 when the firm reached an agreement to terminate their license agreement with L’Oréal.
Upon completion of the acquisition, Oscar de la Renta, LLC will no longer dircetly operate a fragrance and beauty division.