LVMH in talks to sell Marc Jacobs fashion brand for $1 billion.

LVMH is in talks to sell its Marc Jacobs fashion brand for around $1 billion. The luxury giant has been discussing a deal with several parties, including Authentic, the owner of Reebok. The sale is expected to be completed within the next few months.

LVMH Moët Hennessy Louis Vuitton (LVMH) is in discussions to sell its fashion brand Marc Jacobs for around $1 billion, according to sources familiar with the matter. The luxury giant has been exploring deals with multiple parties, including Reebok owner Authentic, Brookstone owner Bluestar Alliance, and Vera Wang parent WHP Global [1].

The Marc Jacobs brand, founded in 1984 by designer Marc Jacobs and his business partner Robert Duffy, has been a significant part of LVMH's portfolio. The brand's most popular products include its tote bags and Marc Jacobs Daisy perfume. The sale is expected to be completed within the next few months, assuming talks do not fall apart [1].

LVMH, known for its acquisitions to fuel growth, such as the 2021 deal for Tiffany & Co., has also shown a willingness to sell brands that no longer align with its strategy. In 2016, LVMH sold Donna Karan and DKNY for $650 million, and more recently, it sold its interests in Off-White and Stella McCartney [1].

The potential sale of Marc Jacobs comes as LVMH has been trying to resurrect the brand by trimming its product offerings. The conglomerate, led by Bernard Arnault, is home to numerous high-end labels, including Dior, Celine, Fendi, and Hennessy cognac [1].

This move aligns with a broader trend of dealmaking activity in the luxury retail space. For instance, Prada recently announced plans to acquire Versace from Capri Holdings for almost $1.4 billion [1].

References:
[1] https://www.wsj.com/business/retail/lvmh-in-talks-to-sell-marc-jacobs-7f23a83a