Coty Locks In Marc Jacobs Beauty License for 40 Years

Coty Inc. has signed a 40-year extension of its Marc Jacobs beauty license, securing fragrance and makeup rights for the brand well past mid-century. The company did not disclose financial terms, and none of the parties detailed minimum royalty guarantees or performance clauses.

The deal follows a change of brand ownership. On Sept. 1, LVMH Moët Hennessy Louis Vuitton completed its sale of Marc Jacobs to WHP Global and G-III Apparel Group for roughly $925 million. WHP and G-III each hold 50 percent of the brand, while G-III also acquired the operating business.

What does the extension cover?

Coty has held the Marc Jacobs license since 2003, when it began building a fragrance portfolio that now includes Daisy Marc Jacobs, Daisy Wild and Perfect Marc Jacobs. The extension covers beauty broadly, spanning the established fragrance business and the recently relaunched makeup line.

Makeup is the newer bet. Coty announced in 2023 that it would relaunch Marc Jacobs makeup, the second iteration of the brand after Kendo Brands ran the original line from its 2013 debut until it was shuttered in 2021. The new Marc Jacobs Beauty range officially launched in May.

Distribution is currently limited to four markets. The line sells in the U.S., the U.K., Australia and Canada through Sephora, plus e-commerce. That footprint defines the near-term expansion question the license extension now underwrites.

How is the makeup launch performing?

Coty described the start of the relaunched makeup line as "outstanding" — a marketing claim that warrants scrutiny. The company said Marc Jacobs Beauty retail sales are already exceeding targets. It also said the brand ranks among the top 20 makeup brands at Sephora U.K. and at Sephora ANZ, the Australia and New Zealand business.

Two product claims stand out as the most concrete data points:

• Eyeliner and eye shadow rank within the Top 5 at Sephora U.S., per Coty.
• Retail sales are above target, though Coty published no absolute sales figures.

The company did not disclose revenue, margin or sell-through numbers. Until it does, "exceeding targets" remains an internal benchmark, not an audited result.

What did the parties say?

Markus Strobel, executive chairman and interim CEO of Coty, framed the deal as validation of Coty's licensing position. He said: "Marc Jacobs is one of the great creative names in fashion, and we are proud of what we have built together over more than two decades. This extension is a powerful testament to Coty's position as a partner of choice for the world's leading luxury fashion and lifestyle brands."

Yehuda Shmidman, founder, chairman and CEO of WHP Global, pointed to the brand's momentum. "Marc Jacobs is a powerful global brand with tremendous momentum and opportunity ahead," he said, adding that Coty has been instrumental in building the fragrance business and relaunching the makeup line.

Morris Goldfarb, chairman and CEO of G-III Apparel Group, called Coty "an exceptional partner" with the global scale to grow the brand's beauty business worldwide.

Notably absent from all three statements: any timeline for market expansion beyond the current four countries, any capital commitment figures, and any disclosure of who funds the makeup rollout's marketing spend — the questions sourcing and licensing professionals will watch as the 40-year term begins.