LVMH will add luxury label Loro Piana to its portfolio of premium brands, as the luxury-centric conglomerate has agreed to acquire an 80% share of the company for $2.6 billion.
The New York Times reports that the co-chief executives,Sergio and Pier Luigi Loro Piana, whom are the great-grandchildren of Giacomo Loro Piana, will remain onboard and run the organization.
The ultra, high-end label boasts five-figure outerwear among its offerings. The NY Times cites a knitted jacket and a “St. Petersburg” that cost $28,995 and $46,500, respectively.
While mass-market retailers have suffered since the recession, the high end has been resilient, with wealthy customers willing to pay for luxury products. Loro Piana is expected to generate sales of 700 million euros this year, LVMH said.