LVMH has consolidated its position as the world's largest luxury goods company by using its huge cash flow to acquire Tiffany & Co. The $16 billion takeover of New York-based jeweler is the largest ever made in the luxury goods sector. It puts LVMH more or less on a par with Richemont in the area of jewelry and watches, and it adds an iconic brand that can also be used in other sectors. We wonder whether Thélios, the joint venture between LVMH and Marcolin, will take over the Tiffany eyewear license, which has been held by Luxottica since 2008. Investors have responded positively, raising LVMH's capitalization to more than €200 billion – nearly three times that of Kering – for the first time.

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