Inter Parfums buy Lanvin Parfums
by Grant Osborne, 08 August 2007
Inter Parfums have acquired the Lanvin brand names and international trademarks for fragrance products and make-up from the Jeanne Lanvin SA Company.
The agreed sum for the acquisition was 22 million euros in cash. We expect a mid term loan will be arranged for in order to re-finance the deal. The Lanvin Company holds a buy back option for the brands, which will be exercisable on July 1st 2025.
Inter Parfums SA and Lanvin have mutually agreed to terminate the existing licensing contract signed in June 2004 as from the date of the sale and have entered a technical and creative assistance agreement in view of developing new perfumes in return for payment based upon net sales. This agreement will stand until June 30th 2019.
Philippe Benacin, CEO of the Inter Parfums SA Company comments that "The acquisition is in line with the overall growth strategy of our group. Its purports to add substance and stability to the brand portfolio, to highlight the long term commitment to develop the Lanvin perfumes business and to strengthen the ties between the parties. The Company will endeavour to protect the high end luxury and exclusiveness image conveyed by Lanvin."
Mrs. Chu-Wang, CEO of the Lanvin Company states that "This transaction will endow Lanvin with the wherewithal to pursue its goals in terms of growth and to strengthen its leadership position in the world of luxury clothing and accessories on a global scale. In addition, the sales clearly evidences the level of trust, which, as Lanvin’s business partner, Inter Parfums is worthy of".