Foto ChatGPT
According to according to Reuters sources, the parties had already reached the final stage of agreement, but late on the evening of Thursday, May 21, the process came to an abrupt halt. The combined portfolio would have included brands such as Tom Ford, Clinique and MAC on the Estée Lauder side, as well as Carolina Herrera and Charlotte Tilbury – key Puig assets popular with Influencers and the TikTok audience.
The collapse of the negotiations, according to interlocutors, was the result of several factors at once. Among them are media leaks, disagreements between the owning families and growing demands from brand founder Charlotte Tilbury, whose minority position in the deal structure proved to be one of the main stumbling blocks.
This culminated in a telephone conversation between Marc Puch and Estée Lauder chairman William Lauder. Afterward, consultants on both sides began exchanging messages, and according to one source, a skull emoji even appeared in one of the chats – as a symbol of the deal’s ultimate failure.
Interest in the merger has persisted since late last year. The parties held a series of meetings in Paris, New York and Barcelona and, according to sources, were close to agreeing on the structure of the new company, including a possible dual listing and distribution of headquarters.
However, Estée Lauder investors have been wary of the deal from the start, and the company’s recent improved financial performance has boosted its confidence in self-sufficiency.
After the talks broke down, the market reacted instantly, with Estée Lauder shares rising about 10%, while Puig shares fell 13%, reflecting a sharp reassessment of the failed beauty giant’s prospects.
