Shiseido Group has signed an exclusive worldwide licence agreement with Dolce & Gabbana. It allows Shiseido to develop, manufacture and distribute the brand’s fragrance, make-up and skincare lines and products.
The agreement comes into effect on 1 October 2016, subject to clearance by antitrust authorities.
Shiseido said the licence acquisition was part of its ‘Vision 2020’ strategy which emphasises both organic growth and acquisitions.
“We are so proud to enrich our portfolio of prestige brands. The licence agreement is aimed at strengthening our brand portfolio for the sake of future top line growth,” said Shiseido Group CEO Masahiko Uotani.
“The collaboration of our two companies, with their heritage rooted in such diverse cultures as Mediterranean style and Japan, opens excellent opportunities for creating new exciting values.”
Dolce & Gabbana designers Domenico Dolce and Stefano Gabbana commented: “The standards, values, coherence and quality of Shiseido Group perfectly mirror the positioning and path that we have decided to take with Dolce&Gabbana. Hence signing the licence agreement with Shiseido represents the ideal choice for the development of our future projects.
“We are sure that the level achieved by the Dolce & Gabbana fragrances thus far, already well-established and significant, will be further enhanced thanks to this partnership with Shiseido, and we anticipate that together we will be able to fully develop the potential we believe we have for growth in make-up and skincare.”
The negotiations were carried out by Shiseido Group EMEA, Shiseido Group Fragrance Center of Excellence. They were led by Louis Desazars, President and CEO of Shiseido Group EMEA and President and CEO of Beauté Prestige International.
Dolce & Gabbana’s beauty licence will be managed from Shiseido Group EMEA’s headquarters in Paris.
The agreement is expected to result in additional Dolce & Gabbana product lines in fragrance, make-up and skincare. Shiseido said the licence acquisition would enhance its position in the luxury beauty industry and “significantly increase” international turnover.
J.P. Morgan Limited served as financial advisor to Dolce & Gabbana and Rothschild Global Advisory served as financial advisor to Shiseido Group for the transaction.
