Hermès Resists LVMH
In October it was reported that LVMH chairman Bernard Arnault (pictured) had aquired a 17% stake in Hermès, which inevitably led to speculation that LVMH would soon try to acquire more stock even though the majority of the company is still owned by the Hermès family. But Hermès is resisting, and refusing to let LVMH gain any more equity, with members of the Hermès family stating publicly that that they do not consider Arnault’s involvement in their company friendly.
Now Women’s Wear Daily is reporting that the founding family is setting up a private holding company that will own more than half of the Hermès shares. This will allow Hermès family members the freedom to sell their stock, which amounts to 73% of the iconic brand, without worrying that LVMH will purchase the shares and eventually buy the family out. The family, with over 60 members involved, is said to all be on board.