Stella Mccartney From Gucci Gucci Parent Kering Kai Yun Group To Buy 50% Shares Of The Same Brand

Stella McCartney to attend the event

March 29, 2018:

Previous rumors were confirmed, on Wednesday, the French luxury group Kering SA (KER.PA) Kai Yun group issued a statement, Stella McCartney and Stella signed an agreement with the group, the latter will buy the 50% Brand Company from the French group Stella McCartney Ltd equity, complete wholly-owned holdings.

The statement said that, in order to smooth the pition, the designer Stella McCartney will continue to serve as a group of female public welfare organizations, and the two sides will also be

The field continues to cooperate.

The rumor of the above paction was spread at the end of January. For the final deal, Stella McCartney said it was the most suitable time.

She also thanked Fran C ois-Henri Pinault and all the group members for their work in the past 17 years.

Fran ois-Henri Pinault also expressed its pride in the success of the Stella McCartney brand since 2001.

In 2001, PPR PA and Stella McCartney co founded the brand of Stella McCartney, and each side held 50% shares. The brand became the label brand of the group with minimalism and environmental protection and natural pursuit.

For the French group, which is more focused on luxury business, Stella McCartney has become an embarrassing brand and its development priority is at the end. This is also an important reason for the rare sale of luxury goods business by Kai Yun group and its rival LVMH SE (MC.PA) in the past two or three years. In 2016, LVMH SE sold Donna Karan to costumes.

The agent is G-III Apparel Group Ltd. (NASDAQ:GIII).

Similar small brands are in the big group, not only do not get the priority development of the group, but also cause erosion to the profits of the group, and create a "double lose" situation at the two levels of the designer and the group.

Tang Xiaotang, analyst at No Agency, commented on the paction rumors in January, saying that "breaking up" is good for both sides. Brand can find new "wholeheartedly" investors and accelerate brand development. The group can divest the loss business and concentrate on reshaping profit growth.

Under the agreement, the French group will continue to provide support and services for Stella McCartney for a year, and confirmed its cooperation at the end of the first quarter of 2019.

After the Stella McCartney deal, Kai Yun group is expected to focus more on the brand of Balenciaga, the brand that is behind the three independent development and reporting performance brands of Gucci, Gucci, Yves Saint Laurent, Saint Laurent and Bottega Veneta. The brand is the most watched by the market. Despite the specific achievements, it has become the fastest growing brand in France since the second half of 2017.

In 2015 and 2016, Balenciaga came to the new creative director and chief executive officer Demna Gvasalia and C dric Charbit. The two, with the help of social media and young users, created the brand for the Spanish designer, and quickly created a new style that caters to the current "luxury brand" style of the luxury industry.