Business Wire

The Estée Lauder Companies Completes Acquisition of DECIEM

Share

The Estée Lauder Companies Inc. (NYSE: EL) (“ELC”) announced today that it has completed its acquisition of the Canadian-based, vertically integrated, multi-brand company DECIEM Beauty Group Inc. (“DECIEM”). ELC first invested in DECIEM in 2017, increased its stake to become majority owner in 2021, and recently exercised its option to purchase the remaining interests in DECIEM after a three-year period. ELC closed on the purchase of the remaining interests on May 31, 2024 using cash on hand for an estimated $860 million. The total investment, net of cash, approximated $1.7 billion over the three tranches. These amounts are subject to post-closing adjustments in accordance with the agreement.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240603987285/en/

Known as “The Abnormal Beauty Company,” DECIEM’s dedication to ingredient transparency, agility, end-to-end capabilities, and passionate global community of skin care devotees help to expand ELC’s skin care portfolio to reach even more global consumers. The company’s innovative multi-brand strategy, propelled by an agile and vertically integrated structure, enables the rapid ability to create and capture opportunities and trends to delight consumers around the world. DECIEM’s flagship brand, The Ordinary, is a consumer-beloved industry disruptor that ranked top two in prestige skin care in its home markets of Canada and the U.S. and top four in France, Germany, and the U.K. during the quarter ended March 31, 2024.

“We are incredibly proud of what DECIEM is accomplishing,” said Fabrizio Freda, President and Chief Executive Officer, ELC. “In our seven years of partnership, DECIEM has achieved impressive growth while continuing its core mission of reimagining effective, high-quality skin care for today’s diverse and sophisticated consumers. As a digitally native organization with a highly engaged following among millennial and Gen Z consumers, DECIEM helps to strategically expand our skin care portfolio, and we believe there are many more exciting growth opportunities ahead.”

"Today The Estée Lauder Companies becomes the forever home of DECIEM,” said Nicola Kilner, Co-Founder and CEO DECIEM. “Our founder Brandon set out to disrupt the world of beauty, and this thinking has been embraced by ELC over the past seven years of our partnership. Their support, along with the energy of our incredibly talented team, has allowed us to strengthen our operational capabilities and enter new markets, while staying true to our founding values of transparency, quality, and authenticity."

ELC’s progressive investment strategy has allowed it to build a long-term partnership with DECIEM rooted in a shared legacy of innovation and entrepreneurship. Since 2017, DECIEM has leveraged ELC’s infrastructure and resources to expand consumer reach globally and drive stronger profitability through operational efficiencies.

Tapping into consumer desire for effective, science-backed skin care, The Ordinary is in ELC’s tier of scaling brands, each with net sales between $500 million and $1 billion. Over the last two years, enabled by ELC’s deep international expertise and network, The Ordinary has expanded its consumer reach globally with launches in key markets including India, the Middle East, and South Africa. And, over the last three years, The Ordinary has successfully increased innovation as a percentage of sales, driven by the highly-sought-after launches of Multi-Peptide Lash and Brow Serum, Multi-Peptide Eye Serum, and Soothing & Barrier Support Serum, demonstrating the brand’s continued focus on developing game-changing products.

Founded in 2013 by the late Brandon Truaxe, a visionary who championed authenticity and transparency in the beauty industry, DECIEM joined ELC with brand incubation capabilities and a portfolio that, in addition to The Ordinary, also includes NIOD, a pioneer in tech-led skin science, and AVESTAN, a fragrance brand that honors Brandon’s vision. DECIEM is headquartered in Toronto, Canada, which is also home to its five in-house labs, and is led by Co-Founder and CEO Nicola Kilner and Jesper Rasmussen, Global Senior Vice President and General Manager.

“DECIEM is an exceptional company with authentic brands, highly effective must-have products, and a uniquely transparent and engaging relationship with its devoted consumers around the world,” said Stéphane de La Faverie, Executive Group President, ELC. “We have enjoyed a fantastic partnership over the last seven years, and we are thrilled to continue our journey together.”

“DECIEM and its brands embody the values of fearless persistence, uncompromising quality, and deep integrity that shape how we do business at The Estée Lauder Companies,” said William P. Lauder, Executive Chairman, ELC. “We are grateful to the entire DECIEM team for its leadership and hard work, and we are tremendously excited to see what we can continue to achieve together in the months and years ahead.”

The forward-looking statements in this press release, including those in the quoted remarks expectations for DECIEM and the ongoing benefits of the acquisition, involve risks and uncertainties. Factors that could cause actual results to differ materially from those forward-looking statements include current economic, geopolitical and other conditions in the global marketplace, actions by retailers, suppliers and consumers, competition, the ongoing integration of the DECIEM business and/or the ability to implement DECIEM’s long-term strategic plan, and those risk factors described in ELC’s annual report on Form 10-K for the year ended June 30, 2023.

About The Estée Lauder Companies

The Estée Lauder Companies Inc. is one of the world’s leading manufacturers, marketers, and sellers of quality skin care, makeup, fragrance, and hair care products, and is a steward of luxury and prestige brands globally. The company’s products are sold in approximately 150 countries and territories under brand names including: Estée Lauder, Aramis, Clinique, Lab Series, Origins, M·A·C, La Mer, Bobbi Brown Cosmetics, Aveda, Jo Malone London, Bumble and bumble, Darphin Paris, TOM FORD, Smashbox, AERIN Beauty, Le Labo, Editions de Parfums Frédéric Malle, GLAMGLOW, KILIAN PARIS, Too Faced, Dr.Jart+, and the DECIEM family of brands, including The Ordinary and NIOD.

ELC-C
ELC-F
ELC-B

To view this piece of content from cts.businesswire.com, please give your consent at the top of this page.

Contact information

Media Relations:
Jill Marvin
jimarvin@estee.com

Investor Relations:
Rainey Mancini
rmancini@estee.com

About Business Wire

For more than 50 years, Business Wire has been the global leader in press release distribution and regulatory disclosure.

Subscribe to releases from Business Wire

Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.

Latest releases from Business Wire

Tecnotree Announces Strategic Partnership with HCLTech to Bring Advanced 5G-Led GenAI Solutions for Global Telcos19.6.2024 12:42:00 EEST | Press release

Tecnotree, a global digital platform and services leader for AI, 5G, and cloud-native technologies, today announced a strategic partnership with HCLTech, a leading global technology company, to co-develop advanced 5G-led generative AI (GenAI) solutions for the telecom industry. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240619554988/en/ Tecnotree Announces Strategic Partnership with HCLTech to Bring Advanced 5G-Led GenAI Solutions for Global Telcos (Graphic: Business Wire) This partnership combines Tecnotree’s proven 5G and AI-led BSS platform capabilities and HCLTech’s deep expertise in driving digital transformation for telcos and CSPs. Together, the companies will deliver solutions designed to redefine digital experiences through the integration of Digital BSS and Tecnotree Sensa AIML fabric, leading to comprehensive business transformation. The solutions will enable customers to enhance business agility and faster re

LatticeFlow AI Announces Key Innovation to Accelerate Development of Deepfake Detection Software in Advance of U.S. Elections19.6.2024 11:34:00 EEST | Press release

LatticeFlow AI, the leading platform for building trustworthy AI applications, announces LatticeFlow AI Audio, the first product designed to find and identify model errors in audio AI applications. This release addresses the pressing demand for reliable voice deepfake detection solutions in advance of the 2024 U.S. elections. In this context, LatticeFlow AI Audio, combined with the company’s existing capabilities in computer vision, makes it the most advanced solution for deepfake detectors to combat deepfake threats combining audio and video. “We believe that there is no place for deepfakes in civil, ethical societies,” said Dr. Petar Tsankov, Co-founder and CEO at LatticeFlow AI. “Ethical, safe, and trustworthy AI are the foundational values of our company – and why we want to help address deepfakes detection in advance of the 2024 elections. LatticeFlow AI Audio is the industry’s only product that can automatically find and identify AI audio data and model errors, enabling our clien

The NAGA Group AG: 2024 Capital Markets Day – Save the Date19.6.2024 10:56:00 EEST | Press release

The NAGA Group AG (XETRA: N4G, ISIN: DE000A161NR7), provider of the All-in-One Financial SuperApp NAGA, cordially invites analysts, investors, shareholders as well as media and partners to virtually join its Capital Markets Day on 11 July 2024, 16.00 CEST. The 2024 Capital Markets Day will provide valuable insights into the strategic vision and growth ambitions of the NAGA Group. Octavian Patrascu, the newly appointed CEO of the NAGA Group, will host the Virtual 2024 Capital Markets Day and elaborate on the Company's latest achievements, its plans for the future, and the innovative path the Group is forging. KEY TOPICS Company Performance: H1 2024 financial results and milestones Merger with CAPEX.com: Strategic rationale, designed to enhance financial efficiency and market presence Innovation and Technology: CEO Octavian Patrascu on his vision for the Group, including the rollout of the NAGA SuperApp Future Plans: Upgrades to NAGA’s app and ecosystem, focusing on user experience, AI i

Ukko-Pekka Nieminen Launches CPFMedia.net to Revolutionize SEO for iGaming Companies19.6.2024 10:40:00 EEST | Press release

CPF Media, a new digital marketing agency specializing in SEO for the iGaming industry, has officially launched its website, CPFMedia.net. Founded by Ukko-Pekka Nieminen, the agency combines a decade of iGaming expertise with cutting-edge SEO and digital media strategies to offer unparalleled services to clients worldwide. About CPF Media CPF Media is rooted in the dynamic landscape of Malta, with foundational ties to Finland. This unique blend of cultural insights and extensive experience in various MGA casinos positions CPF Media as a leader in delivering measurable results and innovative digital solutions. “Our mission at CPF Media is to provide comprehensive digital solutions that elevate our clients’ online presence and drive meaningful engagement with their audience,” says Ukko-Pekka Nieminen, founder of CPF Media. “With our specialized knowledge in the iGaming sector, we are equipped to offer tailored strategies that ensure our clients stay ahead in this competitive market.” Our

Infobip integrates Google Vertex AI into RCS to offer conversational AI19.6.2024 10:11:00 EEST | Press release

Global communications platform Infobip now offers businesses and brands access to conversational AI and AI-enabled chatbots on RCS Business Messaging through a new integration with Google Vertex AI. As pioneers in global omnichannel communications, Infobip is leading the market with innovative solutions. As consumers look for a deeper connection with the brands they buy from, rich conversational messaging channels such as RCS Business Messaging are growing quickly. However, businesses and brands need to be able to offer advanced communications services such as conversational AI and chatbots to deliver personal, relevant, and conversational messaging experiences to their customers. Now with RCS Google Vertex AI, businesses cancreate conversational experiences and chatbots for their customers that enhance engagement and drive conversions. By leveraging AI capabilities within RCS, Infobip empowers businesses to automate processes, provide personalized, instant support, and deliver tailore

In our pressroom you can read all our latest releases, find our press contacts, images, documents and other relevant information about us.

Visit our pressroom
HiddenA line styled icon from Orion Icon Library.Eye