THE WHAT? The Estée Lauder Companies (ELC) has completed the first phase of increasing its ownership in The Ordinary parent company, Deciem.
THE DETAILS Following the completion of the first phase, ELC now owns 76 percent of the company, up from 29 percent.
It has agreed to buy out the final share after three years, with the price determined by Deciem’s performance.
THE WHY? Deciem has grown swiftly following ELC’s first investment in 2017, with net sales for the 12 months ending 31 January, 2021 of approximately $460 million.
Speaking at the initial announcement of the increased investment in February, Deciem CEO Nicola Killner said, “It felt like the right time from our people, our brand, our infrastructure. We feel like it’s a time where they can really come in and offer access to different resources that can strengthen where we are today, but we are so strong in our identity and in our culture that it won’t be overtaken by big corporate.”