Gucci luxury fragrances expanding with acquisition of Creed

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The brand was established in 1760 by James Henry Creed as a tailoring house serving European royal families and still has family involvement

Kering SA, the owner of Gucci, agreed to buy perfume maker Creed in an all-cash deal as the luxury conglomerate expands in the market for high-end fragrances.

The French group said it plans to “unlock” Creed’s potential, particularly in China and in travel retail, while expanding the feminine fragrance portfolio. The company, known for its men’s Aventus fragrance, generated annual revenue of more than €250 million in the year to March 31. Kering last year held talks to buy Tom Ford, the designer brand known for its perfume line, according to people familiar with the matter. A Kering representative declined to comment at the time. Estée Lauder eventually bought Tom Ford.Kering is now trying to revive its biggest brand, Gucci. In April, it revealed that Gucci sales barely grew in the first quarter as the Italian label failed to win over more shoppers to products such as Double G belts and furry Princetown slippers.

Kering has previously indicated it’s trying to bulk up its beauty segment but some brand licenses are in the hands of competitors. Coty Inc. holds the license for Gucci. Pinault said in February that his group will aim to take the license back when it becomes available again, without elaborating on timing.

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