Deals
Burberry Licenses Its Fragrance and Make-Up Brands to Coty
- Coty pays $225 million for exclusive global license to brands
- Burberry seeking to cut costs as it recovers from profit slump
Burberry Body
Photographer: Michael Buckner/Getty Images For BurberryBurberry Group Plc is licensing its fragrance and make-up brands to cosmetics manufacturer Coty Inc., handing over management of a business that has weighed on earnings and held back growth.
Coty will pay about 180 million pounds ($224.9 million) in a deal that gives it the exclusive global license to Burberry’s beauty business and inventory, the trenchcoat maker said Monday in a statement. Burberry will maintain creative leadership over brands such as My Burberry and Mr Burberry fragrances, while tapping Coty’s industry knowledge and distribution network.