It has been announced that iconic American jewellery House Tiffany & Co is to come under the full control of LVMH after a buy-out valued at an eye-popping $16.2 billion was confirmed.
As part of the deal, the French luxury group will pay $135 per Tiffany share, making the acquisition one of the largest in the history of the luxury sector.
Speaking about the deal, LVMH Bernard Arnault said: “We have an immense respect and admiration for Tiffany and intend to develop this jewel with the same dedication and commitment that we have applied to each and every one of our maisons.
“We will be proud to have Tiffany sit alongside our iconic brands and look forward to ensuring that Tiffany continues to thrive for centuries to come.”
Tiffany chairman, Roger N. Farah, added that the deal would give the company “an exciting path forward with a group that appreciates and will invest in Tiffany’s unique assets and strong human capital.”
Industry insiders have already predicted that the buy-out will serve as a boost to the brand’s jewellery and watch line-up, as well as expanding its reach in the United States.
LVMH was formed by the merger of fashion house Louis Vuitton with Moet Hennessy, a company formed after the 1971 merger between the champagne producer Moët & Chandon and Hennessy, the cognac manufacturer.
Luxury brands owned by LVMH include Christian Dior, Bulgari, Zenith, Hublot, Tag Heuer, Veuve Clicquot, Célin, Fendi, Givenchy, Acqua di Parma, Dom Pérignon