Business

Kering Divests Beauty Unit to L’Oréal in €4 Billion Strategic Shift

In a major strategic reversal, Gucci owner Kering is divesting its beauty division to L’Oréal for €4 billion. The deal includes Creed fragrance and future rights to develop products under Kering’s luxury fashion labels through a long-term license agreement.

Strategic Divestiture Amid Leadership Transition

French luxury conglomerate Kering has agreed to sell its beauty division to cosmetics giant L’Oréal for €4 billion, according to reports. The transaction represents the first major strategic move by new chief executive Luca de Meo, who took leadership less than two months ago and is pivoting away from his predecessor’s expansion strategy in beauty and cosmetics.