Including Jimmy Choo brand, LVMH Group, has three times come within a few months to get the news of luxury brands.
LVMH Chairman Bernard Arnault is known to experts in almost calculated. The different time in the past, LVMH sights on the popular fashion brand in Asia, rather than the luxury brands. LVMH Group noted that the number is rising Asian middle class, which means higher disposable income.
LVMH established for this purpose the amount of $ 640,000,000 private equity fund L Capital moderate-a.Ravi Thakran brands LVMH investment in Asia played a key role. He's often seen in Hong Kong and the mainland. He said within two months, will be re-released the Chinese brand and one of the brand's investment in India.
Chinese brands are still unknown.
Message from Jahwa that LVMH investment in the team responsible for Jahwa went to visit, the chairman of GE Wenyao Jahwa attached great importance to personally lead the tour. The sources said the bidder Jahwa options also include the LVMH Group.
However, GE does not confirm Wenyao. LVMH Group Director, said Wu Yue, LVMH Group private equity fund L CAPI-tal business for more than ten years of history, Asia has L CAPI-tal of this fund to continue the business. L Capital is a range of specific categories of LVMH group, and should not principal investments and the Group of LVMH's business be confused.
June 2, Ge Wenyao mentioned on the phone, LVMH, Sephora start from the venture to maintain cooperative relations with Jahwa, once on the side of Han Jahwa SPA, a sister brand performance and more than The dual interest.
The two brands, a valuable repository of resources, one of the group home industry, the key to enter the fashion brand, setting the higher end in Herborist attractive to LVMH.
Brand investment in Asia
Ravi Thakran Indians, he is managing partner Asia's Capital L. LVMH is South Asia, Southeast Asia and Middle East president. Before joining LVMH, he was the Tata Group, Swatch Group and Nike are working on the Asian markets and manages a well-known luxury. He LVMH's investment in China and India play a central role.
L Capital Asia was completed in December 2010 raised less than 10% of the funds from the LVMH Group and the rest from U.S., European financial institutions and high net worth individuals.
The fund aims to invest some of the momentum of rapid development but the overall size of smaller Asian companies, to provide luxury goods such as clothing, home accessories, beauty care, hotel shop, entertainment , the media and even private education.
Ravi Thakran said they look for the brand in Asia, has in-house call value for mon-BE (value for money), that is good quality.
L Capital Asia reached earlier this year, the first investment, access to 20% from the brand Charles & Keith's Singaporean. Singapore has invested in and then view the first Emperor Chi and retail brand of Chinese jewelry brand jewelry.
Ravi Thakran I love the area there, that is, the beauty of China. He was desperate for the brand. He believed that this is after the business, not only will the rapid development in China welcomes the U.S. and Europe.
Ravi Thakran, while China, India, Southeast Asia and the Middle East, European luxury brands are best on the market is still dominant, but in the next period, many of the local market, growth prospects will driven by local enterprises, this is the LVMH Group hopes its funds into the area. Ravi Thakran said, "we are essentially investing in local entrepreneurs."
L Capital Investment Asia 4-5 year development period, and then out through an initial public offering. The fund strategy is to "personal instruction" from the corporate branding, packaging, advertising consultation, with the franchise to establish relationships, is personally involved.
Thakran Ravi said: "We can tell them how to design the store, and how to properly put on the market No visual EP to market our company to these factors .." In addition, L Capital Asia team taught also how to negotiate the location of shops, the media and the establishment of the supply chain to buy. Letters to the diamond jewelry such as the supply side, to coordinate the LVMH brands, to help stabilize the supply of goods and discount prices.
Ravi Thakran said that before the completion of the transaction, both parties agreed in a memorandum of understanding better the value-added projects.
L Capital Asia will not have substantial shares in the company to make a face-lift.Acquired 20% involved in Singapore's Charles & Keith group finance director Koh Dicky said, "We do not how to do business, so they come in is a provider of value-added partner role." Koh said Dicky, when we need it will get feedback from their comments and suggestions.
L Capital Asia is looking 1-10000000 U.S. dollars of investment between. Ravi Thakran said that in Europe, we received 2.5 times the return, and 27% internal rate of return in Asia, we can get more.
This is expected from the beginning of the Asian retail market.
Kings get the Hong Kong Jewellery, Ravi Thakran to 5 times its expected returns.King's Jewelry the money to expand Grand major networks, according to the plan, the next few years, every year on the mainland to open 10-20 stores.
It is important, L Capital has investments in Asia on the exit strategy is timing. The exit strategy, including initial public offerings, strategic sales, and mergers and acquisitions. This is not to get the same luxury brands. As Managing Partner of L Capital Asia Ravi Thakran term, "we try to support these companies, that is way better."
Compared with other equity giants tens of billions of private financial strength, is 6.4 billion dollar industry is still small, but Ravi Thakran not worried about his expertise with luxury goods giant L Capital Group in business advantage.
House of Love
Bernard Arnault on the Chinese market by far my ambition, in 2009 and Macao during the financial crisis, "epic" by Stanley Ho, a joint venture between Shanghai Hua Hong Force Shi Real Estate Development Co., to establish a luxury shopping "center Hisayoshi. "
National Italian Fashion Management Consulting (Beijing) Co., Ltd. For Yan remember, long ago LVMH interested in buying Chinese brands, like the drink into the capital of Sichuan holding old "wine Wenjun", it is the end goal as international high-liquor brands.
Over the past few years, it is clear that the acquisition is successful. Yan For that reason, LVMH is not well known Chinese liquor market, addition, although the core of LVMH kept the local team, but they do not understand the luxury brand business management practices. Both sides could easily lead to out of touch. So LVMH brands are now looking at the bottom part, that is, before the two sides had cooperation and understanding, however, are more mature ways of retail.
LVMH fashion brands in Asia to receive debt, can not say at Hermes "original" brand Investment. We know luxury brands, it is time to support national culture by the brand to get more revenue. various luxury brands expand in China, they are in search for the best goal.
For Yan, must be a very interesting phenomenon is the local boss of the brand expansion initiatives in the international group that wants to be acquired and then retired to enjoy life.
I'm afraid this is not possible to accept GE chairman Jahwa Wenyao, because they do not sell to foreign investors is the home of pure principle.
As early as 2004, a joint venture with LVMH Jahwa Sephora brand cosmetics sales. It is reported that since then, LVMH family of high-rise on account of the interest that close. 2011-6-6