04.28.23
The Estée Lauder Companies Inc. has completed its acquisition of the Tom Ford brand and is now the sole owner of the Tom Ford brand and all its intellectual property.
ELC first agreed to acquire Tom Ford in November of last year.
At the time, Tom Ford stated, “I could not be happier with this acquisition as The Estée Lauder Companies is the ideal home for the brand. They have been an extraordinary partner from the first day of my creation of the company and I am thrilled to see them become the luxury stewards in this next chapter of the Tom Ford brand.”
“ELC and Tom Ford share a deep appreciation for luxury, creativity, entrepreneurial spirit, and a commitment to excellence, and above all, the extraordinary talent that fuels our businesses,” said William P. Lauder, executive chairman, The Estée Lauder Companies.
ELC’s stewardship and its licenses with Ermenegildo Zegna N.V. and Marcolin Group provide continuity and allow for the further evolution of the Tom Ford brand.
The deal, which values the enterprise at $2.8 billion, was financed through a combination of cash on hand, proceeds from the issuance of commercial paper, and $250 million received from Marcolin. ELC paid approximately $2.25 billion at closing, with an additional aggregate amount of $300 million in deferred payments to the sellers becoming due beginning in July 2025. The acquisition of Tom Ford FASHION by Zegna Group reflects the remainder of the total enterprise valuation.
ELC first agreed to acquire Tom Ford in November of last year.
At the time, Tom Ford stated, “I could not be happier with this acquisition as The Estée Lauder Companies is the ideal home for the brand. They have been an extraordinary partner from the first day of my creation of the company and I am thrilled to see them become the luxury stewards in this next chapter of the Tom Ford brand.”
“ELC and Tom Ford share a deep appreciation for luxury, creativity, entrepreneurial spirit, and a commitment to excellence, and above all, the extraordinary talent that fuels our businesses,” said William P. Lauder, executive chairman, The Estée Lauder Companies.
ELC’s stewardship and its licenses with Ermenegildo Zegna N.V. and Marcolin Group provide continuity and allow for the further evolution of the Tom Ford brand.
The deal, which values the enterprise at $2.8 billion, was financed through a combination of cash on hand, proceeds from the issuance of commercial paper, and $250 million received from Marcolin. ELC paid approximately $2.25 billion at closing, with an additional aggregate amount of $300 million in deferred payments to the sellers becoming due beginning in July 2025. The acquisition of Tom Ford FASHION by Zegna Group reflects the remainder of the total enterprise valuation.
