Estée Lauder has ended discussions with Puig regarding a potential merger that would have formed a major fashion and beauty conglomerate valued at nearly $40 billion. The American company, known for skincare, makeup, and fragrance brands such as Clinique, Bobbi Brown, and Tom Ford Beauty, stated that the parties had terminated talks over a possible business combination. Puig, listed on the Madrid stock exchange, owns labels including Jean Paul Gaultier, Charlotte Tilbury, Carolina Herrera, and Dries van Noten. Reports indicate that disagreements over the merged company’s structure, particularly compensation terms linked to Charlotte Tilbury’s stake, contributed to the breakdown. Estée Lauder shares rose 11.5 percent in after-hours trading following the announcement, while Puig shares fell 15 percent. Both companies emphasized their focus on independent growth and selective acquisitions moving forward.
