So it seems Condé Nast is not the only one tightening up its stable of brands.
Word is that LVMH has another big sale on. According to the head of a private equity firm who is currently in Paris looking at the fashion houses’ books, Celine, Loewe, and Kenzo are on the block. It appears that CEO Bernard Arnault is no longer taking excuses for under-performers.
A New York-based investment adviser who spoke to Fashionista on the condition of anonymity said, “These labels are making no money, their margins are way down!” Just today WWD ran a story on Loewe focusing on its core leather business. And we all recently witnessed how well-received Phoebe Philo’s collection was at Celine. But it seems that efforts to try to unload the brands is still moving forward.
LVMH did not return a call for comment.
Back in August, Fashionista broke news that LVMH is also trying to sell DKNY. According to sources shopping the label around, they have yet to find serious buyer.
A New York-based investment adviser who is familiar with these sorts fashion meets finance transactions says, “I am seeing a lot of labels for sale right now at prices that are still too high. If fashion houses don’t realize their brands aren’t worth what they used to be and the couture consumer is shrinking then they are going to have hard time getting Wall Street to come to the table.”