L’Oréal and Kering Enter Into Joint Beauty Venture

Kering and L’Oréal have made it official: The two French giants said Sunday that they are forming a long-term strategic partnership in beauty and wellness.

In a joint announcement, the companies said the binding agreement encompasses the acquisition of the House of Creed by L’Oréal, and gives L’Oréal the rights to enter into a 50-year exclusive license for the creation, development and distribution of fragrance and beauty products for Gucci, commencing after the expiration of Kering’s current license with Coty for that business.

The partnership will also include 50-year exclusive licenses for Bottega Veneta and Balenciaga, which will start at the close of the transaction.

The agreement is valued at 4 billion euros, payable in cash at the closing, which is expected to take place in the first half of 2026. L’Oréal will also pay royalties to Kering for the use of its licensed brands.

Beyond beauty, the companies said they are joining forces to explore business opportunities at the intersection of luxury, wellness and longevity.