Bernard Arnault is reorganising his holding company as the French billionaire seeks to ensure long-term family control over LVMH, the luxury empire he’s built.
Europe’s wealthiest person is turning Agache, his family holding company, into a joint-stock partnership. The change will guarantee that Agache’s “control over the LVMH group will be maintained over the long term,” according to a statement Thursday.
The conversion will not affect the current shareholding of Agache, the statement added.
Control of Agache will be exercised by Agache Commandite SAS, whose share capital will be held equally between the five children of Bernard Arnault. But he will be the managing general partner of Agache.
Earlier this year, shareholders approved a plan to lift the limit of the retirement age of the LVMH chief executive from 75 to 80. Arnault, the current chief, is 73.
Arnault’s wealth is estimated at $134.8 billion, according to the Bloomberg Billionaires Index. LVMH is the owner of luxury brands such as Louis Vuitton and Christian Dior.
The Arnault family has a 48 percent stake in LVMH, according to a regulatory filing.
By Angelina Rascouet
Learn more:
Bernard Arnault Signals Intent to Lead LVMH Until He Is 80
LVMH said in a filing that it will seek to raise the age limit for the chief executive officer to 80 from the current 75 at next month’s annual general meeting.
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