These Are The Biggest Brands Owned By Bernard Arnault’s LVMH
The third richest man in the world and the richest man from Europe as proclaimed by Forbes, Bernard Arnault, who is better known as the luxury king or brand giant because of his LVMH company runs about 75 luxury brands which include some of the world’s biggest and most luxurious brands. As of March 2020 just before the pandemic, Bernard Arnault’s net worth was $76 billion; however, the pandemic seemed to have been nice to Arnault as his net worth was seen ballooning from $76 billion to $112 billion to $193 billion. In this piece, we bring you the biggest brands in Bernard Arnault’s LVMH.
9 Gucci
This Italian lavish luxury fashion brand was established in 1921 in Florence, Tuscany by Guccio Gucci. In the 1980s, the Gucci brand became an icon of the Italian Dolce Vita; a worldwide brand; in the 2010s, the brand became an iconic “geek-chic” brand, and by 2019, Gucci operated about 487 stores and generated a $10.110 billion in sales. To acquire Gucci, Bernard Arnault’s LVMH discretely bought Gucci shares from 1995 until it was holding a 35% stake in the Gucci group. Gucci group revolted when they found out because just 5years before, Bernard Arnault’s LVMH had turned down the offer to buy Gucci for $400 million; only to return 5 years later to spend $1.4 billion for a 34 percent stake in Gucci. This started a Gucci-LVMH battle that took the fashion industry by surprise. However, by 2001, an agreement was reached between the Gucci group and Bernard Arnault’s LVMH.
8 Hublot
Hublot is a luxurious Swiss luxury watch brand that was established by Carlo Crocco in 1980. The Hublot brand is the pioneer of the “Big Bang” chronograph which won the international 2005 Design Prize in the Geneva Watchmaking Grand Prix. Bernard Arnault's LVMH as usual, never allows a luxurious brand to pass him by; little wonder why he is called a “luxury giant”. he acquired Hublot from its founder for an undisclosed fee in 2008.
7 Tiffany & Co.
Tiffany & Co which is popularly known as Tiffany’s is a French-owned American luxurious jewelry brand. It was founded by Charles Lewis Tiffany and John B, Young in 1837. Acquiring Tiffany & Co. was not as seamless as other brands the luxury giant had acquired before. For Tiffany & Co, the deal was closed after months of lawsuits and price hassles. But Bernard Arnault’s LVMH finally settled to acquire Tiffany & Co for 15.8 billion, the deal was officially wrapped up in January 2021. After acquiring Tiffany & Co, the LVMH’s CEO made his son Alexandre Arnault the executive vice president of the brand.
6 Bulgari
This Italian luxury brand was established by silversmith Sotirios Voulgaris in 1884. The brand is widely known for its leather goods, perfumes, jewelry, accessories, and wristwatches. In 2011, Bernard Arnault’s LVMH bagged a 50.4 percent stake in Bulgari for a whooping sum of $6.0 billion; this was 82 percent costlier than Hermes and more than any brand Bernad Arnault’s LVMH had ever acquired at the time.
5 Hennessy
Hennessy, AKA Jas Hennessy & Co. was established by military officer Richard Henessy in 1765. It is a luxurious cognac and it’s been reported that one out of every 4 Cognacs sold somewhere in the world is definitely a Hennessy. It is also recognized as one of “the big four” cognacs alongside Courvoisier, Remy Martin, and Martell. Hennessy is owned by Moët Hennessy, which is in turn owned by Bernard Arnault’s LVMH. In 2021, Hennessy’s revenue rose by 26 percent and gave a $6.7 billion revenue. It also launched lots of industry-standard practices in the world of cognac.
4 Moet
Moët et Chandon is known as Moët et Cie (this means "Moët & Co."), it was first established by an Épernay wine trader Claude Moët in 1743. The reigning King Louis XV also helped increase the demand for sparkling wine. The company was later renamed Moët et Chandon after Pierre-Gabriel Chandon de Briailles. Moët et Chandon later merged with Hennessy Cognac in 1971 and one decade later, they merged with Louis Vuitton to become LVMH (Louis-Vuitton-Moët-Hennessy), and this formed the largest luxury conglomerate in the world with a net worth of over 16 billion euros in 2004.
3 Christian Dior
Dior, originally Christian Dior is a French luxury fashion brand that was created in 1946 in Paris by a French designer Christian Dior. The Christian Dior brand was originally a luxurious couture house before it diversified into other branches of fashion; shoes, bags, perfumes, etc. In 1981, Bernard Arnault bought Dior and in 2017, he acquired the couture house in Paris for 12 billion euros in a bid to bring the perfume, couture house, and other Dior brands under one roof. Dior currently has 198 stores worldwide and, it currently boasts $64.2 billion in revenue.
2 Fendi
Fendi is an Italian luxury brand that was first created in 1925 in Rome. it is a brand that focused mainly on fur production and fur products. It later added shoes, fragrances, eyewear, ready-to-wear goods, etc. In the early 2000s, the LMVH conglomerate decided to acquire a stake, Prada was reported to have gotten a stake too at this time but it was not for long as Bernard Arnault acquired Prada’s shares too and this took LMVH’s shares to 51% ownership of Fendi. By, 2003, Arnault further increased his shares in Fendi to 84%. Fendi is reported to currently be worth $6.627 billion.
1 Louis Vuitton
Louis Vuitton is a French luxury fashion brand that Louis Vuitton originally owned. It was founded in the year 1854 in France. In 1989, Bernard Arnault moves in to acquire the already famous Louis Vuitton and this was around the same time the LVMH conglomerate was created. The brand produces ready-to-wear, jewelry, luxury bags, leather goods, shoes, jewelry, accessories, wristwatches, sunglasses, and books. From 2006-2012 (6 consecutive years), Louis Vuitton was regarded as the world's most valuable luxury brand. As of June 2022, Louis Vuitton’s net worth was $315.52 billion.
Sources: The Business of Fashion, Business Insider, The Fashion Law, LMVH
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