Will Estée Lauder Co. Acquire Tom Ford?

Reports are swirling that Estée Lauder Companies may buy Tom Ford in a deal that could be valued at $3 billion.

The New York-based beauty giant—No. 2 in Happi’s 2022 Top 50 Report—has an existing licensing agreement with the designer that began in 2005. The agreement includes the development and distribution luxury fragrances and beauty products under the Tom Ford brand name.

Tom Ford helped propel Lauder’s fragrance performance in fiscal 2021. ELC, in its most recent annual report, noted that “net sales from Tom Ford Beauty increased, reflecting growth in all geographic regions where we continued to have success with hero products, such as Oud Wood and Black Orchid, and new product launches, such as Bitter Peach,Tubereuse Nue and Costa Azzurra.”

Born in Austin, TX, Ford moved to New York in his teens. He studied at Parsons and New York University. He joined Gucci in Milan in 1990 as the company’s womanswear designer, marking the beginning of a storied career. During Ford’s decade-long tenure as creative director, Gucci’s sales rose from $230 million to almost $3 billion. In 2005, he announced the formation of his brand, Tom Ford.