Estée Lauder Companies has made a minority investment in the Mexican fragrance brand Xinú through its corporate venture capital arm New Incubation Ventures (NIV), the two companies announced on Thursday. Financial terms of the deal were not disclosed.
Founded in 2017, Xinú is known for its premium scents with Mexican and wider Latin American influences, such as Aguamadera, $240, which smells like salt and mezcal, and Oronardo, $240, which it describes as a tribute to the Mexican tulip. The brand has carved out a cult following for its half-moon-shaped bottles of perfume and premium sundries like hand soap and candles.
Veronica Peña, one of the brandâs three co-founders, told The Business of Beauty in October that Mexicoâs growing tourism had helped grow the business. The influx of wealthy shoppers passing through Mexico City had put its grand, light-filled flagship store in the upmarket Polanco district on many âmust-visitâ lists.
âThe customer [here] is passionate about fragrance, and not shy about what theyâre wearing,â she said in October. Her co-founders are Héctor Esrawe, an industrial designer, and Ignacio Cadena, a creative director.
Luxury and niche perfumes have seen stratospheric growth in recent years as customers continue to seek out differentiated, artisanal scents. In a statement, Estée Lauder Companies chief executive Stéphane de La Faverie said fragrance craftsmanship is at the heart of its business: in its most recent earnings in October, perfume sales grew 13 percent, and it also opened a new fragrance âatelierâ in Paris.
NIV has previously invested in fragrance line Vyrao and British body care brand Haeckels.
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