Moncler CEO Solidifies Control Over Company with LVMH Agreement, Reports Reuters

By Elisa Anzolin and Mimosa Spencer

Milan/Paris – Moncler’s Chairman and CEO, Remo Ruffini, is consolidating his control over the outerwear brand following a partnership deal with LVMH, which will invest in Moncler alongside Ruffini.

This agreement further cements LVMH’s influence in the global luxury market. Moncler, based in Milan, has emerged as one of the most successful brands in the industry in recent years, drawing interest from rival luxury companies that have considered acquisitions or mergers.

Under the terms of the agreement announced late Thursday, LVMH has acquired a 10% stake in Double R, the investment vehicle controlled by Ruffini’s Ruffini Partecipazioni Holding. Double R currently holds a 15.8% stake in Moncler.

In the next 18 months, Double R plans to increase its stake in Moncler to 18.5% with the financial backing from LVMH, which will elevate its investment in Double R to 22%, according to statements from both entities.

Over the past nine months, two investors exited Double R and were compensated with Moncler shares, which had diminished Ruffini’s control over the company.

This alliance with LVMH will bolster Ruffini’s position as Moncler’s largest shareholder. As part of the deal, LVMH will have the authority to appoint two members to Double R’s board and one director to Moncler’s board.

Investors have expressed concerns about a slowdown in the luxury sector, particularly due to weakness in the crucial Chinese market, which is facing economic challenges and a property crisis.

However, Moncler has demonstrated resilience, reporting an 11% revenue growth in the first half of the year, driven by strong double-digit growth in Asia.