Estée Lauder Acquires Tom Ford Brand for $2.8 BillionPurchase will add Tom Ford’s best-selling, high-end fragrances to Estée Lauder’s renowned beauty lines and, for the first time, apparel to their products.
By Main Street Sentinel Staff
Estée Lauder announced that they had agreed to purchase the Tom Ford Brand for $2.8 billion as part of an effort to expand their repertoire of high-end perfumes, sales of which grew rapidly despite the pandemic of the last few years, the New York Times reported.
Tom Ford, himself a designer and film director, stated that he “could not be happier” with the deal and is slated to stay on with the brand until the end of 2023. The purchase was motivated by the success of Tom Ford’s beauty business which includes cosmetics, skin care, and fragrances, which Estée Lauder already had a licensing agreement to sell. The deal also brings fashion apparel to Estée Lauder, for the first time.
Ermenegildo Zegna, the Italian group, will become the sole licensee for distribution of Tom Ford men’s and women’s wear, accessories, jewelry, children’s wear and home wares and is generally tasked with ensuring that Tom Ford remains synonymous with luxury and high-end fashion.
Tom Ford became famous in 1995 when he helped reinvigorate Gucci, reinventing the brand from the ground up. He is well known for dressing stars every year. He also began a second career in film, directing and writing the well received “A Single Man” in 2009 and going on to direct several other films.