Core Insights - Kering Group and L'Oréal Group have announced a long-term strategic partnership in the high-end beauty and health sectors [1][4] Group 1: Transaction Details - Kering Group will sell its beauty business, including the Creed salon fragrance brand, to L'Oréal Group [4] - L'Oréal will gain exclusive rights to Gucci brand fragrances and beauty products for 50 years after the expiration of the existing licensing agreement with Coty Group [4] - Kering will also grant L'Oréal exclusive rights for 50 years for the development, production, and distribution of fragrances and beauty products for Balenciaga and Bottega Veneta brands [4] - The total value of the transaction is €4 billion, to be paid in cash upon completion, which is expected in the first half of 2026 [4] Group 2: Strategic Initiatives - A strategic committee will be established to coordinate the collaboration between Kering's brands and L'Oréal Group [4] - Beyond beauty, Kering and L'Oréal will explore business opportunities in the high-end, health, and longevity sectors, planning to form a joint venture with equal equity stakes [4] Group 3: Business Performance - Kering Group's beauty division generated revenue of €150 million in the first half of 2025, reflecting a 9% year-on-year growth, primarily driven by the strong performance of the Creed brand [4] - The sale of the beauty division may be part of a significant restructuring initiative by Kering's new CEO [5]