“We are proud to welcome Burberry as a strategic partner of Coty. We look forward to growing further Burberry’s luxury beauty products using Coty’s world-class expertise in developing and bringing to market beauty brands.” said Camillo Pane, CEO Coty.
On April 3rd 2017, Burberry agreed to give exclusive long-term global licence rights for its fragrances, cosmetics and skincare to Coty. Like many brands did before, Burberry is entrusting Coty with the development and distribution of the full range of Burberry Beauty products globally.
Christopher Bailey, Chief Creative and Chief Executive Officer, Burberry, said, “We are delighted to partner with Coty, a world leader in luxury fragrance and make-up. Working with a global partner of Coty’s scale and expertise will help drive the next phase of Burberry Beauty’s development and position this business for growth.”
In FY 2015/16 Burberry Beauty revenue was £203M, as disclosed in Burberry’s annual results. Coty will pay a cash consideration of £130M for the long-term exclusive global license. The deal is expected to close in calendar Q4 2017, at which point Coty will buy from Burberry approximately £50M of inventory. The deal is subject to customary regulatory approvals. (source: Coty).