Kering and LVMH go head-to-head with their own conglomerate strategy dynamics ? from a Kering acquisition to an LVMH sponsorship deal of Olympic proportions.
The post Luxury Powerhouses: Kering Buys 30 Percent of Valentino, LVMH Pays US $166 Million To Sponsor The Paris 2024 Summer Olympics appeared first on LUXUO.

Last week The Kering Group made an acquisition bid towards Valentino, announcing that it bought a 30 percent stake in the Italian Maison for ?1.7 billion in cash. The move is part of a broader strategic partnership with Qatari investment fund Mayhoola as Gucci ? another house under the Kering umbrella ? navigates its way during a transitional year towards growth. Gucci, which accounts for nearly half of Kering revenues, is in the midst of a managerial reshuffling having recently found a new creative director in Sabato De Sarno, replacing predecessor Alessandro Michele who had been at the helm of the Italian label since 2015. 
Gucci’s New Creative Director Sabato De Sarno

ABC News reports that while Gucci sales ?stagnate?, Kering achieved first-half revenues of ?10.1 billion for the first half of the fiscal year of 2023, with two percent year-on-year increase both as reported and on a comparable basis. Part of the deal stipulates that Kering will have the option to buy 100 percent of Valentino by 2028. Valentino recorded revenues of ?1.4 billion in 2022 perhaps partially due to the stability of Pierpaolo Piccoli’s role...