L’Oréal moves toward potential acquisition of Armani Beauty

L’Oréal is reportedly moving to initiate a potential acquisition of Giorgio Armani’s beauty business, following the designer’s death in September 2025.

Chief Financial Officer Christophe Babule confirmed this week that the company is "definitely" examining the possibility and expects to begin work on the deal "very soon".

"We are very honoured by the consideration of the heirs of the family and their willingness to see L’Oréal invest in the company," Babule said. He added that he could not share further details, but noted that such opportunities are natural for a "leader" in luxury beauty.

Giorgio Armani, who maintained control of his fashion and beauty empire throughout his life, died at age 91 in September. His will stipulates that 15% of the company’s shares must be sold within 18 months of his passing, prompting further speculation about succession and potential buyers.

L’Oréal already holds a licence - valid until 2050 - to develop Armani fragrances, skincare, and makeup.

The brand is considered a key asset within L’Oréal Luxe; HSBC analysts previously estimated that Armani Beauty generated €1.5 billion (£1.3 billion) in sales in 2023, representing about 10% of the division and 3.45% of total group revenue.

Converting the long-term licence into full ownership could solidify an important revenue stream for L’Oréal, remove future uncertainty around rights renewal, and enable deeper integration of the brand. It would also echo Estée Lauder’s recent acquisition of Tom Ford.

If completed, the deal would further strengthen L’Oréal Luxe’s position in the prestige beauty and fragrance sector. Armani Beauty currently sits alongside L’Oréal’s other major licences, including YSL Beauty and Valentino Beauty.