PARIS — Burberry Group and Inter Parfums SA are in talks about establishing a new operating structure for the Burberry fragrance and beauty business.
This story first appeared in the December 21, 2011 issue of WWD. Subscribe Today.
“As there can be no assurance that an agreement will be reached, Burberry has exercised its right to evaluate the purchase price for the unexpired term for the existing license,” Inter Parfums SA stated. “In this process, Burberry has until July 31, 2012, to determine whether it wishes to buy out the unexpired portion of the license or continue the existing license, which runs through Dec. 31, 2017.”
Inter Parfums acquired the Burberry fragrance license in 1993. Its most recent major introduction to the franchise was the Burberry Body scent line, which came out worldwide on Sept. 1.
Inter Parfums SA stock closed Tuesday down 13.7 percent to 16.84 euros, or $22.01 at current exchange. Burberry stock ended the day up 1.5 percent to 11.68 pounds, or $18.30.