THE WHAT? Creed Fragrances has sold its business to BlackRock Long Term Private Capital and Javier Ferrán, Chairman of Diageo, according to a report by WWD.com.
THE DETAILS It is the first sale of the company after 250 years of family ownership, with Olivier Creed, the sixth-generation owner of the company, remaining as master perfumer.
Ferrán will become chairman of the company’s board of directors and join as an investor with Olivier Creed’s son, Edward Creed, remaining involved in the business.
According to a press release, “The partnership with Mr. Ferrán and the Creed family, including Mr. Creed’s son Erwin, is BlackRock LTPC’s first investment in Europe and reflects its unique proposition to founder-led and family-owned companies who value a longer-term investment horizon.”
Ferrán stated, “It is a privilege to build on Olivier’s legacy and become custodians of this treasured business. The quality of the products that Olivier and Erwin have developed has enabled Creed to become the world’s leading artisan fragrance company. I am looking forward to maintaining all the elements that make this such a great business and partnering with all of the company’s employees, suppliers and distributors.”
Terms of the deal were not disclosed.
THE WHY? Creed has made clear that the deal is the right time for the family company to sell in a bid to reach more consumers.
He said, “This business has been in my family for over 250 years and it was critical that, when the time was right, I was able to choose the best partners who would be able to best maintain our heritage as a luxury family business while helping us reach more people around the world. Both Javier and our new partners at BlackRock LTPC are ideal partners for Creed given their collaborative approach to working with their companies and their long-term orientation. I also look forward to continuing to work with all our staff, suppliers and distributors, and I know that they will continue to share in our success.”