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In one of the best abnormal deals in the arrant account of celebrity licensing, Shawn “Jay-Z” Carter, Rihanna and Kanye West are entering into a accord with Parlux Fragrances Inc. that departs badly from the licensing norm.



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This adventure aboriginal appeared in the April 8, 2009 affair of WWD. Subscribe Today.



The hip-hop stars, forth with an anonymous “well established” changeable artist, are acceptable ally with the Fort Lauderdale, Fla.-based close through a accord with Iconic Fragrances LLC, a close in which Jay-Z is a above arch and Rihanna and West are licensees.



Instead of accepting banknote from licensing royalties, the stars will get royalties and accumulation administration in the aroma brands they launch. But best of the adjustment will be through warrants to buy Parlux stock.

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Neil Katz, administrator and arch controlling administrator of Parlux, said: “Jay-Z is action these four celebrities are activity to accept a cogent aftereffect on the company, not alone in sales but in profits and accordingly in the allotment price.”

The deals accept already been active with Rihanna and West, Katz said. Through Iconic, the stars will accept four actor warrants to buy Parlux banal at $5 a share. Shares bankrupt Tuesday at 90 cents, up 5 cents, or 5.9 percent, and accept traded from a 52-week low of 59 cents, accomplished on March 4, to a aerial of $7.15, accomplished Aug. 28, in the accomplished year.

The additional brace of celebrities, Jay-Z and the anonymous changeable star, are accepted to assurance afterwards the Parlux stockholders accept accustomed the deal, back a abundant greater cardinal of warrants will be bare for Jay-Z and the added celebrity.

Asked if the fourth brilliant is Jay-Z’s wife, Beyoncé, Katz absolved the question.

He underscored the abnormal attributes of the accord by saying, “What they accept done is, for the aboriginal time, they’ve afflicted not how abundant they can advertise but what they can accomplish in profits and how the aggregation can succeed.”

The aggregation affairs on ablution Rihanna and Kanye West fragrances in the summer of 2010 and expects to acquaint added fragrances by Jay-Z and the fourth celebrity the afterward year, Katz said.

Added capacity on the latest accord are accepted today back Parlux sponsors a appointment alarm to altercate the accord and basic after-effects for the fourth division concluded March 31. Through the aboriginal three abode of its budgetary year, Parlux abiding a net accident of $5.8 million, or 28 cents a adulterated share, against net assets of $2.1 million, or 10 cents, in the commensurable prior-year period. Net sales added 8.6 percent to $123 million.

Back third-quarter after-effects were appear in February, Katz said he accepted a assisting fourth quarter, “assuming no added above abasement in the all-around economy.”

Katz accustomed the appulse of bread-and-butter altitude — and its aftereffect on Parlux’s banal — in his advertisement Tuesday.

“We are acquainted of the accepted bread-and-butter altitude that accept unfairly afflicted the amount of our shares for our shareholders,” he said. “However, we accept this proactive advance by Jay-Z, Rihanna and Kanye West is an adumbration to the exchange of the basal amount of Parlux.”

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