L’Oréal completes EUR 4 billion acquisition of Kering’s magnificence arm

L’Oréal has finalized its EUR 4 billion acquisition of Kering’s magnificence division after securing approval from competitors authorities, the 2 French teams mentioned in separate statements on Tuesday, March 31.

The deal, introduced in October 2025, contains the sale of the Creed model and the switch of Gucci’s magnificence operations to L’Oréal as soon as the present license with Coty expires. The transaction additionally establishes unique 50-year licenses for the creation, improvement and distribution of perfume and wonder merchandise for the Bottega Veneta and Balenciaga manufacturers.

The all-cash acquisition is predicted to assist Kering, which has confronted a number of difficult years, cut back its debt and assist its restoration.

“By leveraging L’Oréal’s unmatched experience within the magnificence sector, we’re opening a brand new section of acceleration for the event of fragrances and cosmetics for our homes, among the many most iconic on this planet,” acknowledged Luca de Meo, Kering’s CEO, within the press releases.

This new milestone “reinforces our place because the world’s primary in each magnificence and luxurious magnificence,” mentioned Nicolas Hieronimus, L’Oréal’s CEO. “We are going to now work collectively, over the following fifty years, to jot down the following chapter of those iconic manufacturers, to unlock their immense progress potential,” he added. 

The 2 teams additionally indicated that they’re persevering with to discover alternatives within the wellness and longevity sector by a three way partnership.

Kering’s magnificence division was created in 2023, notably with the acquisition of the posh perfume model Creed for EUR 3.5 billion.