As part of the merger between Coty and Procter & Gamble’s beauty business, 10 of P&G’s fragrance licenses will be transferred to Coty. P&G’s Dolce & Gabbana will not be making the move with the likes of Hugo Boss and Gucci, since it did not consent to the transfer before a given deadline. To keep the transaction on schedule, the Italian luxury brand’s license will not be handed over in the deal.
In addition to Dolce & Gabbana, Christina Aguilera Perfumes did not approve the transfer in time. Per the agreement between Coty and P&G, neither of these licenses will be moved to Coty’s control.
The 10 licenses that are relocating to Coty include Hugo Boss, Gucci, Lacoste, Bruno Banani, Escada, Mexx, James Bond, Gabriela Sabatini, Stella McCartney and Alexander McQueen. Coty’s assumed debt for the P&G Specialty Beauty Business will be lowered to reflect the two brands missing from the transaction.
The transaction is expected to close by the second half of 2016.Those who do transfer to Coty join the beauty group’s other licenses, including Chloé and Marc Jacobs, and will have access to another recent Coty acquisition.
In a reflection of the urgency marketers feel to adjust to how much time is spent on mobile and social, beauty company Coty Inc. acquired social content marketing firm Beamly in October.
The move also points to how mobile is increasingly being used by marketers to influence their traditional media buys, with the deal helping Coty quickly experiment with digital content so it can use the results to inform its traditional media buy. Coty, which markets brands such as philosophy, Rimmel and Sally Hansen, will lean on Beamly to help it accelerate the growth of its ecommerce business and support its goal of becoming a pure-play leader and challenger in beauty