August 13, 2022

After speculation and reports of L’Oréal acquiring Byredo, the brand has a new owner. The Spanish fragrance giant Puig has acquired a majority stake in the brand.

WHO: The Swedish brand was founded by Ben Gorham in 2006. Byredo was one of the brands that pioneered the niche fragrance category with its minimalist design and gender-free perfumes. Under Manzanita Capital’s control since 2013, Byredo has focused on direct-to-consumer growth, expanding its e-commerce operation as well as opening more brand-owned retail stores and concessions. In 2020, the company expanded into color cosmetics with a product range created in collaboration with British make-up artist Isamaya Ffrench.

Manzanita Capital is a London-based specialist investment company focused on developing luxury and premium beauty companies into enduring global brands. Unconstrained by strict investment horizons, its long-term perspective is backed by patient family capital. Its brands include Diptyque, Malin+Goetz, Space NK, Susanne Kaufmann, and Byredo.

Puig is a third-generation family-owned fashion and fragrance business. Its portfolio of brands includes a combination of owned brands such as Charlotte Tilbury, Dries Van Noten, Carolina Herrera, Nina Ricci, Paco Rabanne, Jean Paul Gaultier, Penhaligon’s, and L’Artisan Parfumeur; licenses such as Prada, Christian Louboutin, and Comme des Garçons; and lifestyle fragrances. The products are sold in over 150 countries.

WHY: The deal strengthens Puig’s premium fragrance portfolio, which is dominated by licensed fashion fragrances.

IN THEIR OWN WORDS: Puig Chairman and CEO Marc Puig said: “We are thrilled to welcome Byredo, as it perfectly reinforces Puig’s purpose of empowering people’s self- expression, and a strong and conscious commitment in the ESG agenda. Puig will contribute our expertise and resources to the development of this unique brand, which represents modern luxury with a strong consumer connection. This new acquisition marks a new key milestone in Puig’s ambition to develop a business with a strong portfolio of purpose-driven brands.”

Puig Vice Chairman and Chief Sustainability Officer Manuel Puig added, “We are very proud and enthusiastic to have such a high calibre founder as Ben Gorham join our brands ecosystem. Byredo has built a culture and a tribe that people want to belong to.”

“Since 2006 I have been fortunate to work with people who believed in a brand that could redefine a luxury and beauty culture, one that was aspirational yet inclusive,” commented Ben Gorham. “The brand has experienced steady and significant growth over the last 15 years and each phase has presented new challenges and opportunities.

Gorham added, “I really believe that Puig’s experience with founder-led brands in beauty and fashion will help us realize our full potential in multiple categories. Puig has demonstrated a competitive and disruptive approach to building businesses—something that truly resonates with the culture that is Byredo.”

Manzanita Capital CEO William Fisher commented, “Manzanita is a family run business, and Byredo has been part of our family for almost ten years. It has been an incredible journey and we are proud that this next milestone for Byredo is being created together with another privately-owned family business who share our passion for building exceptional brands.”

DETAILS:

  • Puig has acquired a majority stake in Byredo. 
  • The brand has been backed by family office Manzanita since 2013.
  • Terms of the deal were not disclosed, but recent reports of a potential sale to L’Oréal cited a valuation as high as €1 billion.
  • Byredo reported 2021 sales of €119 million ($134 million), up 63% year on year and almost double its pre-pandemic turnover of €62 million ($70 million). The brand is currently available in 55 countries globally.
  • Puig reported €2.5 billion in revenue for 2021, a 68% increase over 2020 estimating income of over €3 billion for 2022.
  • Founder Ben Gorham will continue his role as Chief Creative Officer and both Gorham and Manzanita Capital will remain stakeholders in the company.
  • In September 2021, the Spanish fragrance house made an investment in Chinese fragrance brand Scent Library.
  • In June 2020, Puig acquired a majority stake in Charlotte Tilbury.