The US-based prestige beauty company will produce and market the fragrance collections with creative input from the Italian designer, further tapping into the trend for designer fragrances.

The financial terms of the agreement have not been disclosed.

The first fragrance is to debut in Spring 2009 which the designer states will express the distinct definition of femininity and sensuality characteristic of her work.

The designer hopes that the agreement will help the company succeed in the prestige market.

"The leadership held by this American company in the fragrance sector enables us to realize commercial development focused also on prestige and quality factors," Ferretti said.

For Elizabeth Arden the move represents further strengthening of the company's presence in the European fragrance market.

"Adding the Alberta Ferretti name to our designer fragrance brands allows us to diversify our fragrance brand portfolio and strategically expand our reach of prestige fragrance distribution, particularly in the European market," said Elizabeth Arden CEO E. Scott Beattie.

The company has an extensive portfolio of prestige fragrances and has achieved particular success with a range of celebrity fragrances.

In November last year the company reported positive first quarter results which they attributed to the successful launch of Mariah Carey's new fragrance 'M'.

November also saw a further celebrity fragrance deal, this time concerning rapper Jay-Z, reflecting the company's wish to attract a younger consumer.

Under the agreement with Iconix, Elizabeth Arden will produce cosmetics, fragrances and skin care products for the Rocawear brand, which was co-founded by Jay-Z in 1999.

In addition Elizabeth Arden counts the fragrances of Britney Spears, Hilary Duff and Danielle Steel amongst their brand portfolio.

Although the company experienced success with its Mariah Caery fragrance, and reported positive results in emerging markets, its figures for North America were disappointing.

The company hoped the second quarter (results to be released early February) would be considerably better for its North American division, pinning its hopes on further growth for the 'M' fragrance, as well as the launch of its Prevage night cream.