06.26.23
French luxury conglomerate Kering Beauté, which recently welcomed Raffaella Cornaggia as its new CEO, has signed an agreement to acquire 100% of Creed from funds controlled by BlackRock Long Term Private Capital Europe and current Chairman Javier Ferrán.
Creed sources, researches, inspects, and commissions its own natural raw ingredients. Its fragrances are sustainably produced in its laboratory in Fontainebleau on the outskirts of Paris.
Creed also offers a tailored, elevated in-store experience through a network of 36 branded stores, and quality distribution through a total of circa 1,400 doors globally.
For the full year ended March 31, 2023, Creed generated revenue of more than $271.9 million.
François-Henri Pinault, Chairman and Chief Executive Officer of Kering, commented: “The acquisition of Creed represents Kering Beauté’s first strategic initiative, and demonstrates our commitment to developing a strong position in the luxury beauty segment. I am thrilled that today our stories and values come together around this spirit of family entrepreneurship and excellence to accelerate our journey in beauty, and I am delighted that the brand is joining Kering’s collection of luxury Houses.”
While preserving Creed’s heritage and brand image, Kering Beauté will further unlock Creed’s potential across geographies, channels, and categories, notably through the acceleration of its development in China and in Travel Retail, and further expansion of the feminine fragrance portfolio, body and home categories.
The beauty category is a natural extension of Kering’s luxury universe, and the Group is confident its expansion in this strategic segment will create lasting value for the Group and its Houses.
Jean-François Palus, Group Managing Director of Kering, declared: “The House of Creed is recognized as one of the few leading global luxury fragrance brands, synonymous with exclusivity and creativity. We are confident that this landmark acquisition will facilitate and amplify our development in fragrance. This is a milestone in the development of Kering Beauté, as we believe more than ever in the strong potential of our brands in beauty.”
The all-cash transaction is expected to close in the course of H2 2023, subject to clearance by the relevant competition authorities.
About Creed
Established in 1760, the House of Creed is the largest global independent player in the high-end fragrance market. It is renowned for one of its best sellers, Aventus. Praised for its rich heritage, timeless scents, and unisex versatility, Creed is widely recognized for manufacturing artisanal essences using a traditional technique and for crafting distinctive and sophisticated scents.Creed sources, researches, inspects, and commissions its own natural raw ingredients. Its fragrances are sustainably produced in its laboratory in Fontainebleau on the outskirts of Paris.
Creed also offers a tailored, elevated in-store experience through a network of 36 branded stores, and quality distribution through a total of circa 1,400 doors globally.
For the full year ended March 31, 2023, Creed generated revenue of more than $271.9 million.
A Major Step for Kering Beauté
The acquisition of Creed is a major step for Kering Beauté. A fit with its portfolio of luxury brands, it immediately provides Kering Beauté with the required scale, an outstanding financial profile, as well as a platform, supporting the future development of other Kering Beauté fragrance franchises, by leveraging in particular Creed’s global distribution network.François-Henri Pinault, Chairman and Chief Executive Officer of Kering, commented: “The acquisition of Creed represents Kering Beauté’s first strategic initiative, and demonstrates our commitment to developing a strong position in the luxury beauty segment. I am thrilled that today our stories and values come together around this spirit of family entrepreneurship and excellence to accelerate our journey in beauty, and I am delighted that the brand is joining Kering’s collection of luxury Houses.”
While preserving Creed’s heritage and brand image, Kering Beauté will further unlock Creed’s potential across geographies, channels, and categories, notably through the acceleration of its development in China and in Travel Retail, and further expansion of the feminine fragrance portfolio, body and home categories.
The beauty category is a natural extension of Kering’s luxury universe, and the Group is confident its expansion in this strategic segment will create lasting value for the Group and its Houses.
Jean-François Palus, Group Managing Director of Kering, declared: “The House of Creed is recognized as one of the few leading global luxury fragrance brands, synonymous with exclusivity and creativity. We are confident that this landmark acquisition will facilitate and amplify our development in fragrance. This is a milestone in the development of Kering Beauté, as we believe more than ever in the strong potential of our brands in beauty.”
The all-cash transaction is expected to close in the course of H2 2023, subject to clearance by the relevant competition authorities.
