Estée Lauder Companies, Inc. (NYSE:EL) shares are trading higher Friday after the company announced it terminated discussions regarding a potential business combination with Puig.
- Estée Lauder shares are powering higher. Why are EL shares rallying?
Estée Lauder, Puig End Combination Talks
The companies said discussions regarding a potential business combination had ended. On March 23, the companies confirmed they were in discussions regarding a potential transaction, although no agreement had been signed.
Stéphane de La Faverie, president and CEO of The Estée Lauder Companies, said the company remains focused on executing its "Beauty Reimagined" strategy.
"Today, we are reiterating our confidence in the power of our incredible brands, our talented teams, and our strength as a standalone company," de La Faverie said.
The company said its Beauty Reimagined strategy and "One ELC" operating model are aimed at building a faster and more agile organization focused on innovation, execution and global growth opportunities.
Estée Lauder also said it will continue evaluating its portfolio for potential acquisitions and divestitures while remaining focused on sustainable sales growth, profitability expansion and delivering a double-digit adjusted operating margin over time.
Estée Lauder Shares Advance
EL Price Action: At the time of publication, Estée Lauder shares are trading 10.34% higher at $87.07, according to data from Benzinga Pro.
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