LVMH acquires Off-White, the streetwear brand of Virgil Abloh

LVMH and Virgil Abloh join forces in business. The African-American multi-cap designer, who already works for the world number 1 in luxury as men’s artistic director for Louis Vuitton, becomes a full partner of the French group, which enters 60% in the company Off-White LLC , owner of the brand of streetwear Couture Off-White, founded in 2013.

OFF-WHITE – Fall-Winter 2021 – Haute Couture – Paris – © PixelFormula

Virgil Abloh will own the remaining 40%. In addition, the two partners will further extend their collaboration. “This agreement provides for drawing on the expertise of the LVMH group to jointly launch new brands but also to develop partnerships with existing brands in various sectors, beyond that of fashion. The first discussions on these subjects took place. already started “, announces the company in a press release.

No details are given on the amount of the transaction. The group just indicates that New Guards Group (NGG), the Italian fashion group that has become since its creation in 2016 a key player in the streetwear bringing together, alongside Off-White, eight other brands including Palm Angels, Marcelo Burlon, Opening Ceremony and Heron Preston, “will remain an operational partner for Off-White through its license agreement with Off-White LLC”.

As a reminder, New Guards Group was bought in 2019 by the English luxury platform Farfetch for 675 million dollars (603 million euros). At the time, rumors had circulated about a potential interest of LVMH in NGG. The luxury group does not wish to comment on this component linked to Farfetch, which “remains an operational partner”, he tells us, while confirming to us that LVMH is just entering the Off-White brand and not in NGG . “The transaction by which LVMH invests in Off-White is subject to regulatory approval and should be finalized within 60 days,” he added.

For the luxury group, with 70 houses, most of which are recognized for their historical heritage, a new business model is emerging, thought to be projected into the future. LVMH had time to confront Virgil Abloh, whom he recruited in 2018 to place him in its flagship brand Louis Vuitton and to appreciate his multiple creative and inventive talents. Skills that he decided to value more.

“Today, we are privileged witnesses of his creative work and his exceptional vision through everything he does with us at Louis Vuitton. We will support Virgil and his team to further grow Off-White and we have I can’t wait for him to be able to express with us his unique sensitivity in other projects that will affect the luxury sector as a whole, ”said LVMH boss Bernard Arnault. “By breaking down boundaries and spreading a deeply inclusive vision, Virgil has extended the reach of the luxury world of Louis Vuitton. We are proud of the progress made so far and very excited to open up new new paths together, ”adds Louis Vuitton CEO Michael Burke.

For his part, with this agreement, Virgil Abloh is gaining recognition and will be able to count on a solid partner to develop his brand, which today numbers nearly 56 stores, including one flagship in Paris opened recently.

“LVMH brings us the power and the dimension necessary to accelerate our momentum and make Off-White a true luxury brand with multiple categories and products”, comments the designer who also intends to “use this partnership to deepen my long-standing commitment to to offer new opportunities to as many people as possible and to promote more equity and inclusion in our sector. This is an exceptional new forum to raise much higher the transformations already put in place together “.

All rights of reproduction and representation reserved.
© 2021 FashionNetwork.com

.