The Wall Street Journal has published a story reporting that cosmetics maker Estée Lauder is working on its biggest ever acquisition - fashion and lifestyle brand Tom Ford.
Quoting “people familiar with the matter”, the newspaper is mooting a $3 billion deal is being discussed. However, Estée Lauder, which owns MAC, Clinique, La Mer and Aveda, is reported to not be the only suitor.
The WSJ further states that the cosmetics giant will have its eyes on Tom Ford’s range of high-end cosmetics and fragrances, which it already holds a licensing deal for. It writes: “Estée Lauder executives mentioned on its fiscal third-quarter earnings call in May that Tom Ford was among a handful of brands with double-digit sales growth and highlighted especially strong demand for such luxury brands in China.”
Bloomberg reported in early July that Tom Ford was considering a sale.
Estée Lauder’s biggest known acquisition to date was Too Faced, which it bought for $1.45 billion in November 2016.
