The will instructs heirs to gradually sell the fashion brand or seek a stock market listing, reports say
Marking a surprise turn for a brand known for being highly protective of its independence and Italian roots, the will of fashion designer Giorgio Armani, who passed away on 4 September, has instructed heirs to gradually sell the fashion brand or go for a stock market listing, Reuters reported.
The report noted that the will has instructed the heirs to sell an initial 15 per cent stake in the company within 1.5 years and then transfer an additional 30 to 54.9 per cent stake to the same buyer between three to five years after the iconic fashion designer’s death.
The will also highlighted that the priority should be given to LVMH, L’Oreal, EssilorLuxottica or another group of equal standing approved by a foundation that he set to preserve the legacy with the agreement of Arman’s business and life partner Pantaleo Dell’Orco, the report mentioned.
On the other hand, the will instructs the heirs to opt for an initial public offering in Italy or in a market of equal standing. The report emphasised that the will provides the Fondazione Giorgio Armani and right-hand man Pantaleo Dell’Orco 70 per cent of voting rights in the group combined.
The company was founded in 1975 and marks its golden jubilee this year. Armani was known for designing the ‘power-suit’ for women, leaving a lasting impact on the fashion industry. His designs were featured in a Hollywood film in the 1980s and have since been worn by many celebrities over the years. He was a pioneer in the fashion industry, and his vision helped grow the brand into a multi-billion-dollar business. (With Reuters Inputs)
