Giorgio Armani Will Names LVMH, L’Oréal Preferred Buyers for Stake Sales

Giorgio Armani's will directs his heirs to sell an initial 15% stake in his fashion empire within 18 months, with preference given to luxury giants LVMH, L’Oréal, and EssilorLuxottica, followed by a potential sale of an additional 30 to 54.9% stake over three to five years or an IPO. The Fondazione Giorgio Armani will retain at least 30% of the shares to safeguard the brand’s values, while voting rights are distributed among family members and longtime collaborator Leo Dell’Orco, who will play a key role in deciding the future ownership. LVMH is widely seen as the most strategic and likely buyer due to its financial strength, luxury expertise, and existing focus on expanding into luxury experiences, which aligns with Armani's vision. L’Oréal and EssilorLuxottica, as longstanding licensees in beauty and eyewear respectively, are also positioned as preferred buyers but face questions regarding their capacity to acquire the whole brand. The decision comes at a challenging time for luxury brands amid geopolitical uncertainties and shifting consumer habits, with Armani’s menswear facing pressure in a more casual market even as perfumes and eyewear partnerships perform well. Armani’s succession plan marks a significant shift after decades of resisting acquisition offers, signaling a major potential consolidation in the luxury sector.