According to a report on Wednesday by the Spanish newspaper Expansión, citing individuals familiar with the matter, U.S. cosmetics giant Estee Lauder is considering an offer to acquire all of Puig's Class B shares at a price between €18 and €19 per share.
The potential transaction is valued at approximately €2.9 billion based on the total number of Puig's Class B shares and the offered price range. However, if approximately 20% of minority shareholders opt for a cash consideration and the family-held, non-transferable Class A shares are included in the overall package, the total cash outlay for Estee Lauder could reach as high as €3.25 billion.
The two companies confirmed in March of this year that they were engaged in discussions regarding a potential merger. A successful deal would create the world's largest high-end beauty group, uniting renowned brands such as Tom Ford, Carolina Herrera, Jean Paul Gaultier, and Clinique. The report indicates that negotiations are ongoing, with financial and governance matters still needing to be resolved.
Puig's shares were trading down 2.4% at €17.84 during Wednesday afternoon trading. The stock has struggled to recover since its initial public offering in May 2024 and currently trades 27% below its IPO price.
According to previous reports, Estee Lauder has enlisted JPMorgan Chase to lead a financing package of approximately €5 billion to facilitate the cash-and-stock acquisition of Puig.
Puig reported strong results for the fiscal year ending in 2025, with net revenue increasing by 9% to €4.741 billion and net profit rising by 11% to €499 million. The company anticipates maintaining its growth momentum into 2026, driven by robust performance in its fragrance division and early signs of improvement in Asian markets.
The report also stated that the Puig family is expected to receive approximately 27% of the voting rights in the newly merged entity through a share swap. Puig has declined to comment on the report.
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