Burberry will pay €181 million to terminate its license agreement with cosmetic company Inter Parfums, according to a statement released by Inter Parfums. The two companies, which have been in partnership for nearly 20 years, have been trying since December to agree on a new operating model for Burberry’s fragrance and beauty business. On Thursday, Burberry walked away from those discussions.
Inter Parfums has produced Burberry-branded perfume and aftershave under an exclusive license since 1993.
In May Burberry announced its intention to “intensify” non-clothing sales and increase its presence in the perfume and cosmetics market.