Kering<\/a> said in a statement that its brand Gucci and Coty had agreed to bring forward the redemption date of their existing license by one year. That means the license with L’Or\u00e9al should begin on July 1, 2027. <\/p>\n“By combining Gucci’s global desirability and distinctive creative vision with L’Or\u00e9al’s unparalleled expertise in beauty, innovation capabilities and worldwide distribution network, the partnership aims to unlock significant long-term growth opportunities across fragrance and beauty,” Kering said in a statement released Tuesday night. <\/p>\n
“Beyond business growth, the partnership is expected to further strengthen Gucci’s desirability and brand equity worldwide,” Kering continued. “By fully harnessing the complementary strengths of beauty and fashion, Gucci and L’Or\u00e9al aim to deepen consumer engagement, broaden the house’s global reach and reinforce the consistency, relevance and impact of the brand across categories.” <\/p>\n
Coty is to receive about $400 million for the early redemption of the license agreement rights. The cash payments should be made in two phases \u2014 $250 million this year and up to $150 million in 2027. <\/p>\n
L’Or\u00e9al will pay Kering transition costs of about 70 percent of the early redemption costs and inventories. <\/p>\n
“Today’s agreement creates value for Gucci, L’Or\u00e9al and Coty alike,” said Luca de Meo, chief executive officer of Kering. “It accelerates the transition, enabling Gucci and L’Or\u00e9al to begin shaping the next chapter of Gucci Beauty a year earlier than planned. <\/p>\n
“By bringing together two global leaders in luxury and beauty, we are creating the conditions to strengthen Gucci’s reach, influence and desirability across generations and geographies,” he said. <\/p>\n
Until the new license comes into effect, Kering and L’Or\u00e9al will work together for a smooth transition, L’Or\u00e9al said in a separate statement. <\/p>\n
“I am truly excited by the opportunity to welcome Gucci Beauty within the L’Or\u00e9al roster of brands with one year anticipation,”\u00a0said Nicolas Hieronimus, CEO of L’Or\u00e9al. “It is the start of a 50-year journey, a significant additional growth engine for L’Or\u00e9al and new milestone in our partnership with Kering.” <\/p>\n","protected":false},"excerpt":{"rendered":"PARIS \u2014 The beauty landscape keeps shape-shifting with news that Gucci and L’Or\u00e9al have entered into a 50-year…\n","protected":false},"author":2,"featured_media":47752,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12905],"tags":[31699,6551,31659,2514,1580],"class_list":["post-50976","post","type-post","status-publish","format-standard","has-post-thumbnail","category-loreal","tag-beauty-license","tag-gucci","tag-gucci-beauty","tag-kering","tag-loreal"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/posts\/50976","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/comments?post=50976"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/posts\/50976\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/media\/47752"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/media?parent=50976"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/categories?post=50976"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/tags?post=50976"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}