Estée Lauder Companies Inc. (NYSE:EL) has officially confirmed it is in discussions for a potential merger with Spanish beauty giant Puig Brands, S.A. (OTC:PUIGF).
While no final decision or agreement has been reached, the news has sent ripples through the retail sector.
BofA Securities has reiterated its Buy rating on EL with a price forecast of $130.
Creation of a Beauty Behemoth
According to a Tuesday analyst note from BofA Global Research, a successful combination would create the world’s second-largest listed beauty company.
Proforma 2026 revenues are estimated at $21.6 billion with an EBIT of $2.8 billion. This move would pivot Estée Lauder’s narrative from its “Beauty Reimagined” turnaround plan to a story of transformational …
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