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    Breaking News

    Coty Acquires Burberry Beauty License

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    05.01.17
    FRANCE: Coty Inc. has entered into an agreement to acquire the exclusive long-term global license rights for Burberry Beauty luxury fragrances, cosmetics and skin care. Under the agreement, Coty will develop, manufacture and distribute the full range of Burberry Beauty products globally. In FY 2015/16 Burberry Beauty revenue was £203 million ($253 million at current exchange rates).  Coty will pay a cash consideration of £130 million for the long-term exclusive global license.


    “We are proud to welcome Burberry as a strategic partner,” said Coty CEO Camillo Pane. “We look forward to growing further Burberry’s luxury beauty products using Coty’s world-class expertise in developing and bringing to market beauty brands.”  


    The Burberry Beauty business will be managed within Coty’s luxury division. Headquartered in Paris, Coty Luxury develops, produces, markets and distributes fashion house fragrances including Gucci, Marc Jacobs, Hugo Boss, Calvin Klein, Alexander McQueen, Bottega Veneta and Balenciaga, as well as premium cosmetics and skin care under the Philosophy, Lancaster and Gucci brands. 


    Edgar Huber, president Coty Luxury, said that Coty is uniquely positioned to develop Burberry Beauty to the next level.


    “We are delighted to partner with Coty, a world leader in luxury fragrance and makeup.  Working with a global partner of Coty’s scale and expertise will help drive the next phase of Burberry Beauty’s development and position this business for growth,” said Christopher Bailey, chief creative and CEO, Burberry.


    Burberry beauty products will be sold in leading luxury beauty retailers globally as well as in Burberry stores and digital channels. The deal is expected to close by the end of the year, at which point Coty will buy from Burberry approximately £50 million of inventory.  The deal is subject to customary regulatory approvals.
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    CURRENT ISSUE

    February 2019

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