The Estee Lauder Cos. is acquiring luxury powerhouse Tom Ford in a deal valued at $2.8 billion.
As a part of the deal, announced Tuesday, Ermenegildo Zegna Group and Marcolin S.p.A. will enter long-term license agreements for Tom Ford fashion and Tom Ford eyewear, respectively.
The Recent York-based beauty company is predicted to pay roughly $2.3 billion, after a $250 million payment from Italian eyewear manufacturer Marcolin SpA. Estee Lauder goals to finance the deal through a mixture of money, debt and $300 million in deferred payments to sellers that grow to be due starting in July of 2025.
The acquisition, subject to regulatory approvals, is slated to shut in the primary half of 2023.
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Under the agreement, Tom Ford, founder and CEO of Tom Ford International, will remain the brand’s creative visionary after closing and thru the top of calendar 2023. Domenico De Sole, chairman of Tom Ford International, will stay on as a consultant until that very same time.
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