Kering Plans Luca de Meo as CEO Amid $4.4B Loss, Renault Shares Drop

Kering, the French luxury conglomerate that owns Gucci, is set to appoint Luca de Meo, current CEO of Renault, as its new Chief Executive Officer in a strategic move to revive the struggling brand and company. De Meo, credited with turning around Renault, will replace François-Henri Pinault, who will remain chairman after the roles of CEO and chairman are split. This leadership change comes amid significant challenges for Kering, including a sharp 75% decline in its stock value since 2021 and broader pressures from U.S. tariffs affecting the luxury sector. Kering's shares surged nearly 10% following the announcement, while Renault's shares dropped significantly due to de Meo's departure. Investors are hopeful that de Meo's product-focused leadership and turnaround expertise will help restore confidence and drive a strategic reset for Kering in a competitive luxury market. The move underscores the importance of innovative management in navigating a complex global economy and market pressures.