Estée Lauder is seeking 5 billion in financing for Puig

Estée Lauder is preparing to acquire Puig, but first needs to secure funding. The company is exploring financing options totaling approximately 5 billion euros to support the acquisition.

Deal takes shape

Estée Lauder has engaged JPMorgan Chase & Co. to work out the financing structure, reports the Spanish business newspaper Expansión. JPMorgan is reportedly in talks with several lenders to put together a financing package designed to facilitate a public bid for Puig.

The offer would consist of a combination of cash and shares, according to market sources. Bloomberg previously reported that progress has been made in the talks. The negotiations involve brands such as MAC, Le Labo, and Charlotte Tilbury on the Estée Lauder side, and Byredo within Puig’s portfolio. In March, both companies confirmed that they were in talks regarding a potential merger, without disclosing details about the exact terms.