The Gucci owner Kering buys the luxury perfume manufacturer Creed, known for the men’s fragrance Aventus.
The luxury giant intends to expand into the fast-growing cosmetics and fragrances sector. Kering said Creed will be acquired by a BlackRock private equity vehicle. Terms of the deal were not disclosed. Creed achieved sales of more than 250 million euros in the past financial year. The perfumer has a global network of around 1,400 sales outlets.
The acquisition is an important step in Kering’s ambitions to build a new beauty division. Fashion giants like Kering have traditionally licensed their beauty product brands to third parties rather than running a cosmetics business themselves. Kering is now trying to break into an industry that represents a gateway to the luxury goods market for consumers.
In EURONEXT trading, the Kering share temporarily gained 0.64 percent to EUR 505.60.
By Nick Kostov
PARIS (Dow Jones)
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