Discussions between Interparfums and Burberry continues
According to a company spokesperson; “Although an agreement has been reached on certain main terms and conditions, important points remain to be finalised.”
To preserve its rights under the agreement, Burberry exercised its option to buy out the license rights effective December 31, 2012. Under the terms of the agreement, the buy out price amounts to €181 million (exclusive of receivables, inventories and other tangible assets).
However, the two parties are continuing their discussions on these important points in an effort to reach a new comprehensive agreement. If no new comprehensive agreement is reached, then the current license will end on December 31, 2012.
“Discussions longer and more complex than expected have naturally led Burberry to exercise its option to buy out the license agreement before the 31st July to ensure its ability to benefit from all possible alternatives,” says Jean Madar, Inter Parfums Chairman.