L’Oréal to Sell 3 Billion Euros of Bonds to Help Finance Kering Beauté Buy

Group 1 - L'Oréal has priced a 3-billion-euro triple-tranche bond to finance part of its acquisition of Kering Beauté [1] - The bond offering consists of an 850-million-euro two-year floating-rate bond, a 1-billion-euro five-year fixed-rate bond, and a 1.15-billion-euro long 10-year fixed-rate bond [1] - The net proceeds from the bond issuance will be used for general corporate purposes, including financing the Kering Beauté acquisition [2] Group 2 - The strategic partnership between L'Oréal and Kering was announced on October 19, involving a multibillion-euro deal [2] - L'Oréal will acquire The House of Creed and enter into 50-year exclusive licenses to develop and sell fragrances and beauty products for Kering's brands Bottega Veneta and Balenciaga, with Gucci to follow after its current contract with Coty Inc. ends in 2028 [3] - The joint venture agreement is valued at 4 billion euros, payable in cash at closing, with L'Oréal also paying royalties to Kering for the use of its licensed brands [4]