Estée Lauder and Puig discuss merger, combining major beauty brands under one roof

Estée Lauder and Spanish beauty company Puig are in early talks about a potential merger that would unite major brands like Tom Ford Beauty, Carolina Herrera, and Clinique. Puig's shares surged over 14% following the news, while Estée Lauder's shares showed modest gains after a recent drop. Analysts see potential cost savings and earnings growth from the deal, though they caution about complexity and market apprehension. No final decision or financial terms have been disclosed yet, and Estée Lauder is currently working on a turnaround amid challenges like U.S. tariffs impacting profitability.