INTERNATIONAL. Puig has added to its stable of designer brands by acquiring a majority stake in French fashion house Jean Paul Gaultier. Earlier today the Spanish group purchased the full 45% stake owned by Hermès for €16 million, in addition to an unspecified stake from the designer.
In an official statement Hermès confirmed: “Acknowledging Mr Jean Paul Gaultier’s desire to accelerate the deployment of his house and give it a fresh impetus, Hermès has sold on May 3rd, in full agreement with the creator, all of its 45% stake in the house to the Spanish group Puig. The selling price of the shares (€16 million) together with the repayment of the granted loans (€14 million) will generate an accounting profit of equivalent amount (€30 million) in 2011.”
Hermès CEO Patrick Thomas commented: “I am delighted with this move for a house that is dear to our heart. I am convinced that the alliance between Jean Paul Gaultier and the Puig family will take the house to new highs.”
The deal gives the family-owned Spanish group yet more critical mass within the world of fashion and fragrance. Puig already owns Nina Ricci, Carolina Herrera and Paco Rabanne. In 2003 the group signed a strategic alliance with Prada to develop fragrances and cosmetics. Last year it signed a licensing agreement with the house of Valentino – the debut fragrance will be unveiled to the media in June.
Puig reported net sales of €1.2 billion in 2010, while net profit was €150 million, an increase of +57% on the previous year. Over the past five years Puig has increased its global market share in the prestige fragrance industry from 3.7% in 2005 to 7% in 2010. It claims to have been responsible for 35% of the industry’s global growth over the past five years.
That growth trajectory looks set to continue with this latest acquisition – particularly when Gaultier’s fragrance licensing agreement with BPI comes to an end in 2016.
“Business as usual” claims Beauté Prestige International
In a statement, Beauté Prestige International (BPI) has insisted that it is business as usual for the Jean Paul Gaultier beauty brand, for which it holds the licensing contract until 2016.
“This change [in shareholding structure] does not re-question the existing fragrance license contract in force between the house of Jean Paul Gaultier and BPI (Beauté Prestige International), a subsidiary of the Shiseido Group,” said the company.
“The development plans for the Jean Paul Gaultier Parfums brand, including the launch of a new men’s fragrance in France in September 2011, will proceed as agreed.
“BPI will also continue to develop and enlarge its brand portfolio, currently composed of Issey Miyake, Jean Paul Gaultier, Narciso Rodriguez and Elie Saab. The Shiseido Group confirms its strategy as a global group, in which BPI, its fragrance division, is an integral contributor to international growth alongside skincare and makeup.”
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