April 1 (Reuters) - U.S. cosmetics giant Estee Lauder and Spanish firm Puig are advancing talks to combine in a deal that would consist mostly of stock, Bloomberg News reported on Wednesday, citing people familiar with the matter.
The two family-owned companies last month said they were exploring a merger that would create a $40 billion luxury beauty group bringing brands such as Tom Ford, Carolina Herrera, Rabanne and Clinique under one roof.
The deal could be formally announced within weeks, the report added.
As part of the deal, Puig Executive Chairman Marc Puig would sit on the board and is expected to be crucial to the integration of the two companies, according to the report.
Estee Lauder and Puig did not immediately respond to Reuters' requests for comment.
(Reporting by Savyata Mishra in Bengaluru; Editing by Leroy Leo)
Puig Brands SA (Puig) specializes in the design, manufacture and marketing of high-end beauty, personal care and perfumery products. Net sales (before intercompany eliminations) break down by family of products as follows:
- perfumery and fashion items (72.3%): perfumes, eau de parfums, eau de Cologne, lotions, soaps, clothing, footwear, fashion accessories, etc. (brands Carolina Herrera, Jean Paul Gaultier, Nina Ricci, Rabanne, Byredo, Christian Louboutin, Comme des Garçons, Dries Van Noten, L'Artisan Parfumeur, Penhaligon's, Adolfo Domínguez, Banderas, etc.);
- make-up products (16.8%): foundations, lipsticks, lip glosses, eyeliners, concealers, mascaras, eyeshadows, etc. (brands Carolina Herrera, Charlotte Tilbury, Rabanne, Byredo, Christian Louboutin and Dries Van Noten);
- skin care products (10.9%): moisturizers, cleansers, serums, toners, exfoliants, face masks, sun creams, etc. (Uriage, Apivita, Kama Ayurveda, Loto del Sur and Charlotte Tilbury brands).
At the end of 2025, the group has 7 production sites in Spain (2), France (3), Greece and India.
Products are sold through more than 330 owned stores, distributors, retail outlets and the Internet.
Net sales are distributed geographically as follows: Europe/Middle East/Africa (54.6%), Americas (34.9%) and Asia/Pacific (10.5%).
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