Estée Lauder completes Deciem $1.7bn buyout

By Alessandro Carrara | Published: 3-Jun-2024

The US luxury giant first invested in the maker of The Ordinary in 2017, going on to become a major stakeholder four years later

The Estée Lauder (ELC) has completed its US$1.7bn acquisition of Deciem.

ELC first invested in the parent company of The Ordinary and NIOD in 2017 and would go on to become a majority stake owner in 2021.

The US luxury giant purchased the remaining shares in the company for an estimated $860m on 31 May, stating the acquisition would help to expand its skin care portfolio.

“In our seven years of partnership, Deciem has achieved impressive growth while continuing its core mission of reimagining effective, high-quality skin care for today’s diverse and sophisticated consumers,” said Fabrizio Freda, ELC President and CEO.

The Canada-based business, which was founded by the late Brandon Truaxe, bolstered ELC’s Q3 2024 results after a lacklustre prior quarter.

A standout performance from The Ordinary, along with La Mer and Jo Malone London, drove a 5% sales increase to US$3.94bn.

"Today The Estée Lauder Companies becomes the forever home of Deciem,” said Nicola Kilner, CEO of Deciem.

“Our founder Brandon set out to disrupt the world of beauty, and this thinking has been embraced by ELC over the past seven years of our partnership.”

ELC has supported The Ordinary’s expansion into India, the Middle East, and South Africa over the past two years.

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