P&G has experienced an unforeseen setback in its deal to hand over the fragrance arm of its business to Coty.
The US consumer giant was due to hand over 12 fragrance licenses to Coty, however, the licensors of the Dolce & Gabbana and Christina Aguilera Perfumes licenses did not provide their consent within the specified time.
In a release from Coty, it stated: “In accordance with the transaction agreement and in the interest of staying on track with the transaction, it was agreed that these brands will not transfer upon completion of the merger.”
The ten fragrance licenses that have been confirmed to transfer to Coty, however, include: Hugo Boss, Gucci, Lacoste, Bruno Banani, Escada, Mexx, James Bond, Gabriela Sabatini, Stella McCartney and Alexander McQueen.
The fine fragrance deal is expected to close, along with the handover of P&G’s other 41 colour, hair and salon professional brands, in the second half of this year.
