Estée Lauder and Puig Merger Talks Collapse
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 22 2026
0mins
Source: Newsfilter
- Merger Talks Collapse: Estée Lauder and Puig's merger discussions fell apart at the final stages due to disagreements among controlling families and demands from Charlotte Tilbury, which would have created a $40 billion entity, impacting brand positioning.
- Significant Market Reaction: Following the collapse, Estée Lauder's stock rose approximately 10%, while Puig's shares fell by 13%, indicating differing investor sentiments regarding the merger and reflecting Estée Lauder's increased confidence in remaining independent.
- Months of Negotiations: Discussions began late last year, with multiple meetings held in Paris, New York, and Barcelona, achieving preliminary agreements on governance but failing to resolve critical issues regarding asset structuring.
- Charlotte Tilbury's Influence: Demands related to Charlotte Tilbury's minority stake emerged as a major stumbling block, highlighting the importance of founder interests in governance and profit-sharing during the merger process.
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Analyst Views on EL
Wall Street analysts forecast EL stock price to rise
18 Analyst Rating
8 Buy
9 Hold
1 Sell
Moderate Buy
Current: 90.870
Low
70.00
Averages
106.76
High
130.00
Current: 90.870
Low
70.00
Averages
106.76
High
130.00
About EL
The Estee Lauder Companies Inc. is a manufacturer, marketer and seller of skin care, makeup, fragrance and hair care products. Its products are sold in over 150 countries and territories under a number of brand names, including Estee Lauder, Aramis, Clinique, Lab Series, Origins, M.A.C, Bobbi Brown Cosmetics, La Mer, Aveda, Jo Malone London, Bumble and bumble, Darphin Paris, TOM FORD, Smashbox, AERIN Beauty, Le Labo, Editions de Parfums Frederic Malle, GLAMGLOW, Kilian Paris, Too Faced, Dr.Jart+, and the DECIEM family of brands, including The Ordinary and NIOD, and BALMAIN Beauty. It is a licensee for fragrances, cosmetics and/or related products for AERIN, BALMAIN, and Dr. Andrew Weil. Its skin care products include moisturizers, serums, cleansers, toners, exfoliators, facial masks, body care, sun care products and others. Its makeup products include foundations, powders, concealers and setting sprays, lipsticks, lip liners and lip glosses, and mascaras, eyeshadows and eyeliners.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Brand Influence: Estée Lauder operates in approximately 150 countries, marketing a diverse range of premium skincare, makeup, and fragrance brands, including Estée Lauder, Clinique, and M·A·C, showcasing its strong presence in the luxury market.
- Strategic Market Positioning: By participating in key industry conferences, Estée Lauder reinforces its market position in the beauty and personal care sector, demonstrating a strategic focus on future growth opportunities.
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