Kering’s CEO, Luca de Meo, had promised to act without delay to reorganize the struggling luxury group. Exactly one month after taking office on September 15, the Italian is making his mark by initiating the sale of Kering Beauté to the world’s beauty leader.
On Sunday, October 19, the luxury group owned by the Pinault family sold the Creed fragrances to the global beauty leader and granted it “the rights to conclude an exclusive fifty-year licensing agreement for the creation, development, and distribution of Gucci’s fragrance and beauty products, commencing after the expiration of the current license with Coty”.
The deal, which also includes establishing fifty-year licenses for Kering’s brands (Gucci, as well as Bottega Veneta and Balenciaga), totals “€4 billion, payable in cash upon completion of the transaction, expected in the first half of 2026”. The proceeds from this sale could be used to reduce the group’s debt, which was estimated at €9.5 billion in July. Following the announcement, Kering’s stock surged over 5% in early trading on the Paris Stock Exchange on Monday, October 20.