The European multinational luxury goods conglomerate LVMH has announced that it is going to integrate the entire Christian Dior brand within the luxury group.
The move is part of twofold strategic project. Bernard Arnault, Chairman and Chief Executive of LVMH, is also the Chairman and majority shareholder of Dior. Along with streamlining the business and simplifying its structure for the market’s benefit, the move will also allow the strengthening of LVMH’s fashion and leather goods division, owing to the acquisition of Christian Dior Couture.
According to release issued, the € 13 billion deal will be made via a simplified public offer by the Arnault family group for Christian Dior shares – that it does not currently hold – and take form of a primary offer consisting of € 172 a share in cash and 0.192 Hermès International shares for each Christian Dior share, and would be completed by two secondary offers, in cash and in Hermès shares respectively.
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LVMH expects the filing of the proposed offer by the end of May, with the acceptance period lasting around three weeks.
