Date: 2025-04-05 Page is: DBtxt003.php txt00019510
Mergers and Acquisitions
LVMH and Tiffany & Co
The luxury industry’s biggest takeover is beginning to crack. LVMH is backing out of its $16.2 billion purchase of Tiffany & Co..
Peter Burgess
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See profile for Jelena Tašić Pizzolato Jelena Tašić Pizzolato 2nd degree connection 2nd Innovation Director | MBA | LifestyleTech | FashionTech | start-ups | Sustainability Your observation is spot-on, Milton: the underlying assumption of both sides in this luxury drama is that the immediate future is not bright. This story brought back memories of a conversation I had a year ago with a few of luxury & tech execs. At the time, it was crystal clear that there was too much confidence and money in the system, as the bubble indicators were starting to show. We were wondering how and when (not if) it was going to burst. With the Covid-19 market shock, a sudden burst did not take place. Instead, it feels like watching a hot air balloon deflating in front of our very eyes. It is far from over, we all know it. But, there’s one thing about trusted relationships: they can endure only by evolving. Hopefully, this new reality serves as a catalyst for brands to accelerate their shift towards more sustainable business practices. Many customers are already waiting on the other side. In response to Milton Pedraza’s post
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No alt text provided for this image Like all great business dramas, this will end with a settlement. Either the deal price will be negotiated down, or there will be some kind of exit payment. That could have been done a while ago, but each party was waiting to see how bad the pandemic effect was. There are only good people here, and they are all victims of the pandemic. What is most relevant for your luxury brand is one underlying assumption each party is implicitly making. That the near future, at least, is not bright. That should concern every luxury goods brand. So, if optimism has been our key strategy, even if we can't admit that to ourselves, we all need to start the reinvention process to the new reality NOW. The future really is digital, but ecommerce and other tech will be a commodity. Data, AI and EI are the key. Now, whoever owns the customer relationship wins. Pandemics come and go. Products come and go. Channels come and go. Trusted relationships endure. #tiffanyandco #lvmh #luxurygoods #luxurybrands #luxurybusiness #luxuryindustry #luxury #luxurylifestyle #diamonds #luxuryexperience #customerrelationships 21 Likes 21 Likes on Milton Pedraza’s post 1 Comment 1 Comment on Milton Pedraza’s post Like Comment
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See profile for Walé Oyerinde Walé Oyerinde 2nd degree connection 2nd Digital Content Strategy & Brand Storytelling (Creating a balance between PURPOSE & PASSION) Not surprised. The global pandemic has forcefully rearranged our priorities, redefining the definition of luxury as we know it. In response to The Business of Fashion’s post No alt text provided for this image BREAKING | LVMH 'won’t be in a position to realise its plan to acquire Tiffany & Co,' the French conglomerate has said in a statement. Like Comment
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See profile for James Melendez James Melendez 2nd degree connection 2nd JVS Salesforce Admin Fellow - Cohort 12 at JVS - San Francisco I am not sure LVMH needs to own all luxury brands. I think independence is a good thing for competitive landscape. And perhaps a lot more healthy competition is needed instead of all luxury brands feeling the same.
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In response to Milton Pedraza’s post No alt text provided for this image Like all great business dramas, this will end with a settlement. Either the deal price will be negotiated down, or there will be some kind of exit payment. That could have been done a while ago, but each party was waiting to see how bad the pandemic effect was. There are only good people here, and they are all victims of the pandemic. What is most relevant for your luxury brand is one underlying assumption each party is implicitly making. That the near future, at least, is not bright. That should concern every luxury goods brand. So, if optimism has been our key strategy, even if we can't admit that to ourselves, we all need to start the reinvention process to the new reality NOW. The future really is digital, but ecommerce and other tech will be a commodity. Data, AI and EI are the key. Now, whoever owns the customer relationship wins. Pandemics come and go. Products come and go. Channels come and go. Trusted relationships endure. #tiffanyandco #lvmh #luxurygoods #luxurybrands #luxurybusiness #luxuryindustry #luxury #luxurylifestyle #diamonds #luxuryexperience #customerrelationships Like Comment
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William J. Brown William J. Brown • 2nd Accomplished leader of e-commerce, data-driven CRM and digital change, across big-cap & start-up companies 22h • 22 hours ago Blame it on tariffs, whatever, but LVMH has a convenient excuse to walk away from this ludicrously overpriced acquisition, even when it was struck pre-pandemic in November of last year. No alt text provided for this image Tiffany Sues LVMH for Backing Out of $16 Billion Deal bloomberg.com • 4 min read LIKE INTEREST MAYBE 21 2 Comments Like Comment Share Send
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Max-Michel GRAND Max-Michel GRAND • 3rd+ Former-Director, Maître de Maison at Château de Bagnols***** Relais & Châteaux 22h • 22 hours ago Mr Bernard Arnault is dubbed “the wolf in cashmere” for his hardball and hostile dealmaking tactics. In France he was called « l’ange exterminateur » in a book published about 10 years ago.
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Yves Bougon Yves Bougon • 2nd Senior Advisor at Fast Track & Advisor To The Board at Wearisma / ex-CEO at Condé Nast France and Hearst Japan 22h • 22 hours ago 'New York, we have a problem; Geneva, there's an opportunity!' #luxurybusiness #jewelleryindustry #globalmarket #nyse #lvmh #tiffany #covid19impact #luxurygoods No alt text provided for this image LVMH says it cannot complete Tiffany takeover after French intervention ft.com • 4 min read LIKE MAYBE INTEREST 11 1 Comment Like Comment Share Send
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Mary C Mary C • 2nd Simplifying life one paper at a time... 23h • Edited • 23 hours ago Tiffany is timeless. I think this was a great opportunity for them that won’t happen if Tiffany revises their marketing strategy successfully. The only reason people have put buying on hold is because of uncertainty. Once that passes, it doesn’t matter if they can’t afford Tiffany - they will let their cars fall apart to keep up with the Jones’ that will never change for city monger materialists nor Pleasantville nouveau riche.
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CNBC CNBC 2,561,934 followers 23h • 23 hours ago Follow LVMH scraps $16.2 billion deal with Tiffany https://cnb.cx/2R58Yx0 No alt text provided for this image LVMH scraps $16.2 billion deal with Tiffany cnbc.com • 3 min read LIKE INTEREST 11 Like Comment Share Send
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Ariel SerberStatus is online Ariel Serber • 2nd Financial peace of mind is for everyone! Get educated, get going. Better results come from better planning and resources 23h • 23 hours ago Another economic victim of coronavirus - luxury retail M&A - Louis Vuitton is no longer acquiring Tiffany & Co. - the $16.2 billion acquisition agreed to late in 2019 was meant to close in November. Sales at Tiffany stores are down nearly 50%, a brutal drop that threw the deal into doubt and now it looks like it won't go through. Another deal that looks to be scrapped is the Taboola - Outbrain $850 million merger - https://lnkd.in/gTGSkFB #business #finances #linkedinfinance Lions Financial No alt text provided for this image LVMH scraps $16.2 billion deal with Tiffany cnbc.com • 3 min read LIKE INTEREST MAYBE 25 6 Comments Like Comment Share Send
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Pamela Danziger Pamela Danziger • 2nd Speaker, Author, Researcher and Forbes.com Senior Contributor on Luxury, Retail and Affluent Consumers 23h • 23 hours ago #tiffanyandco is left at the 'alter' by #LVMH Wonder if it has to return the engagement ring? #acquisitions #luxurybrands No alt text provided for this image LVMH Calls Off Bid To Buy Tiffany & Co., Jeweler Sues Luxury Conglomerate forbes.com • 1 min read LIKE MAYBE INTEREST 23 2 Comments Like Comment Share Send
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Benedict H. Auld Benedict H. Auld • 2nd Founder & CEO at Lapidarius 1d • Edited • 1 day ago What did LVMH think it was buying in the first place when they played for Tiffany? A division of Amazon? Tiffany has been a brand adrift for a full 10 years or more. I will be interested to learn how much cash the current CEO takes out of Tiffany before his imminent departure. Why do American Original brands -- so good and so true and so global -- let themselves go like that? Why would you entrust Tiffany to LVMH? That would be like selling Harley-Davidson to Ducatti. No alt text provided for this image Tiffany files suit after LVMH backs out of merger marketwatch.com • 2 min read LIKE PRAISE INTEREST 24 Like Comment Share Send
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Timothée Rolland Timothée Rolland • 3rd+ Deep knowledge of Financial Markets / Strong Sales Skills / Great Team spirit 1d • 1 day ago I would be really surprised if this move was a definitive decision....I’d rather see it as a prelude to a renegotiation of some sort... No alt text provided for this image LVMH Pulls Out of Tiffany Takeover wsj.com • 2 min read LIKE MAYBE INTEREST 9 Like Comment Share Send
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Massimiliano Sulpizi Massimiliano Sulpizi • 2nd Entrepreneur| CEO| Business Angel| Startup| Private Equity| Venture Capital| M&A| Corporate Finance| Philanthropist 1d • 1 day ago Tariffs can only be bad for the economy. We will see more of these outcomes if the US administration doesn’t change what is for me an extremely wrong approach to trade. No alt text provided for this image LVMH Pulls Out of $16 Billion Tiffany Deal, Citing U.S. Tariffs bloomberg.com • 4 min read LIKE INTEREST 12 Like Comment Share Send
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Benjamin Chouchane Benjamin Chouchane • 2nd Save the Oceans 1d • 1 day ago These tariffs are obviously a deal breaker. Do the maths. The rationale of this offer doesn’t make sense anymore with such an unfair decision on luxury goods between both sides of the Atlantic. No alt text provided for this image LVMH Pulls Out of $16 Billion Tiffany Deal, Citing U.S. Tariffs bloomberg.com • 4 min read LIKE INTEREST 14 Like Comment Share Send LinkedIn News LinkedIn Corporation © 2020