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€4-billion strategic move. That is the hefty sum L'Oréal will pay, in the first half of 2026, to acquire the beauty division of the luxury group Kering following a partnership announced Sunday, October 19. The deal enables Kering, owner of Gucci, to reduce its debt.

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Kering sells beauty branch to L'Oréal, refocusing on fashion

Nicolas Hieronimus, CEO of L'Oréal, the world's leading beauty products company, crafted a highly ingenious plan with his Kering counterpart, Luca de Meo, who was appointed on September 15. With this acquisition, Hieronimus will gain control of Creed perfumes, a brand of expensive fragrances that brings in annual sales of around €345 million.