Estée Lauder in Talks with Spanish Fragrance Giant Puig Over Business Merger

WealthCoffee · 2026-03-24T23:14:06+00:00

Estée Lauder and Spanish fragrance giant Puig are in talks about a potential business merger, with no agreement reached yet. The combined company would have a market value exceeding €30 billion, with projected 2025 revenue surpassing €17.7 billion, approaching the level of L'Oréal's luxury cosmetics division. The news caused Estée Lauder's stock price to decline while Puig's stock price rose.

WealthCoffee

2026-03-24 23:14:06

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Caixin: On March 23rd local time, Estée Lauder Companies (NYSE: EL) issued a statement confirming that it is in talks with Puig regarding a potential business merger. The two companies may merge their respective businesses, but no final decision has been made, and no agreement has been reached. Following the announcement, Estée Lauder’s stock price dropped over 7%, while Puig’s stock price rose more than 14%.

Puig is a Spanish perfume giant that officially listed on the Madrid Stock Exchange in May 2024. On its first day of trading, its market value exceeded 13.9 billion euros, but the stock price subsequently declined, and its current market value is about 10 billion euros. If Puig merges with Estée Lauder, the combined company’s market value will exceed 30 billion euros; additionally, based on 2025 revenue estimates, the merged revenue of Estée Lauder and Puig will surpass 17.7 billion euros, matching the high-end cosmetics division of L’Oréal (OREP.PA), which is projected to generate about 15.6 billion euros in revenue in 2025.

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