Aliexpress replica Louis Vuitton boss slows attack on rivals online for sale

ByElle Pop

Aliexpress replica Louis Vuitton boss slows attack on rivals online for sale

Louis Vuitton boss slows attack on rivals Herms’s then chief executive, Patrick Thomas, did just that back in 2010 when it emerged rival French luxury group LVMH had secretly built a stake in the handbag and silk scarf maker. Mr Thomas was so angry he declared: “If you want to seduce a beautiful woman, you don’t start by raping her from behind.” He is known as the “wolf in the cashmere coat” for his shrewd business dealings and when it came to light that through contracts for difference and other complex share dealings, that his business had amassed a huge stake in Herms, Paris was shocked. Yesterday the luxury goods groups finally agreed a truce. After conciliation talks, brokered by the Commercial Court of Paris, the 23.2 per cent stake in Herms will be distributed to shareholders in LVMH, Christian Dior and the Arnault family investment firm, Groupe Arnault. Mr Arnault also agreed not to buy any shares in Herms for the next five years. The deal dashes his plan to take Herms over, for now, and puts an end to a saga that has rumbled on for nearly four years as well as enriching Mr Arnault who is a significant shareholder of the beneficiary replica hermes avalon blanket companies. When news of the secret stakebuilding first broke in October 2010, Mr Thomas was reported to have heard about LVMH buying a 17 per cent stake when he was on a cycling holiday in rural France. LVMH continued to enter into other deals and eventually acquired 23.2 per cent. It has been reported that the reason Mr Arnault was able to amass his stake was due to a sell off by one of the Herms family Nicolas Puech, although he denies this. A war of words followed and an investigation ensued. Commentators said Mr Arnault’s deal was clearly the start of an attempted takeover and if other family members could eventually be persuaded to sell he could make his move. But Herms’s 52 key family shareholders were not going out without a fight. They created a new ownership structure to stop any future hostile takeover. The 177 year old company has a myriad of family members who are all related to the founder, Thierry Herms. The new structure gave the families the Dumases, the Puechs and the Guerrands control of 50.2 per cent of the shares and voting rights. When current chief executive Axel Dumas took over from Mr Thomas he continued to swap fighting talk with Mr Arnault, and was quoted as saying the fight would be “the battle of our generation”. It wasn’t just the Herms family that was cross. The manner in which LVMH quietly bought the shares also came under the scrutiny of France’s markets watchdog, AMF, and last year it fined the group $11.06m for its behaviour. All the while Mr Arnault continued to say the stake building was merely a straight forward financial investment and not a secret takeover plan. Now that the shares are being distributed and shareholders are in line for a $4.1bn capital gain his argument is plausible. Mr Arnault also realised that to continue owning the controversial stake would be bad publicity for his group. He has already recently courted controversy when he applied for Belgian citizenship in 2012. There was an outcry as people assumed it was for tax reasons and last year he withdrew his application. The decision to back down on Herms shows Mr Arnault is a pragmatic businessman. This isn’t the first time he has known when to call it quits and made a killing in the process. Mr Arnault went head to head with France’s other luxury goods family in the 1990s over a battle for Gucci. Mr Arnault’s LVMH tried to buy the Italian brand but Franois Pinault’s PPR (now called Kering) took a stake to prevent a takeover.

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