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Estee Lauder acquires Tom Ford for $2.8 billion

The deal could be officially announced in the coming days.
Tom ford - unsplash

American cosmetics giant Estee Lauder has agreed to purchase luxury fashion house Tom Ford. The deal is expected to be $2.8 billion.

According to The Wall Street Journal, the deal could be officially announced in the coming days. If the agreement is signed, the purchase will become the largest in the history of Estee Lauder.

Estee Lauder began talks to take over Tom Ford in August 2022. Later it was reported that the purchase of the fashion house is also interested in the fashion giant Kering.

Estee Lauder is one of the largest players in perfumes, cosmetics and care products in the global market. The portfolio of the New York company includes brands of MAC, Clinique, La Mer, Aveda, Jo Malone, Aramis and Tom Ford. The company has been producing Tom Ford Beauty under a license agreement since 2005.

After the closing of the takeover of the fashion house Estee Lauder plans to keep the existing license agreements for the production of perfumes and cosmetics, as well as gain the right to create clothing and accessories.

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