Estée Lauder Shares Jump 10% After Ending Puig Talks
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- Estée Lauder shares rose 9.6% in premarket trading after the company announced the termination of merger discussions with Spanish beauty group Puig.
- Puig shares fell nearly 14% in the same period, reflecting investor disappointment in the collapsed deal.
- Estée Lauder said it will stay focused on its “Beauty Reimagined” strategy, which targets premium product launches and a $1.2‑$1.6 billion investment to streamline the supply chain and cut up to 10,000 jobs.
- AJ Coatsworth of AJ Bell called the termination a “lucky escape,” noting the mismatch between Estée Lauder’s skincare focus and Puig’s fashion‑oriented portfolio.
Why it matters: Investors in Estée Lauder gain as the stock jumps ~10%, while Puig’s shareholders lose ~14% value; the termination frees Estée Lauder to pursue its $1.2‑$1.6 billion “Beauty Reimagined” plan, potentially accelerating cost cuts and premium growth.
Ask SkimNews
