L’Oréal has finalised its €4bn deal to acquire Kering’s beauty division, Kering Beauté, following approval from competition authorities.
The completed agreement confirms the French beauty giant’s acquisition of Kering’s beauty arm, including luxury fragrance brand House of Creed, as well as the signing of exclusive 50-year beauty and fragrance licences for the Kering brands.
This includes the creation, development and distribution of fragrance and beauty products under the Bottega Veneta and Balenciaga brands.
The deal also gives L’Oréal the rights to enter into a 50-year exclusive license agreement with Gucci.
This will begin upon the expiration of the existing license with Coty, in full compliance with Kering Group’s obligation under their current license arrangement.
“On behalf of the group, I am delighted to welcome these extraordinary brands into the L’Oréal family,” said Nicolas Hieronimus, CEO of L’Oréal.
“This significant new milestone in our strategic partnership with Kering reinforces our position as the world’s number one in both beauty and luxury beauty.
“We will now work together, over the next 50 years, to write the next chapter of these iconic brands, to unlock their immense growth potential.”
The Cosmetics Business Innovation Awards aim to recognise breakthroughs across the entire beauty supply chain, from raw materials to logistics. With transparent judging and expert commentary, the programme offers rare insight into what true innovation looks like today. Entries open now!
L’Oréal and Kering are also continuing to explore development opportunities in the fields of wellness and longevity through a joint venture.
The finalised deal between the two companies is in accordance with the terms announced in October 2025.
Luca de Meo, CEO of Kering, said this strategic alliance with L’Oréal marks “a decisive step forward” for the company.
Meo added: “By leveraging L’Oréal’s unmatched expertise in the beauty sector, we are opening a new phase of acceleration for the development of fragrances and cosmetics for our houses, among the most iconic in the world.
“This long-term partnership will enable us to fully realise their potential in this category and support their development, drawing on the creativity, desirability and excellence that set them apart.”
Related content:
- L'Oréal CEO Nicolas Hieronimus’ 2025 pay revealed
- Analysis: Are we entering a new era of beauty megacorporations?
- Kering offloads beauty division to L’Oréal in historic €4 billion deal
- Estée Lauder Companies in ‘discussions’ around potential merger with Puig
- It’s complicated: Estée Lauder Companies and Puig’s relationship status if they enter this merger