Luxury group Richemont wants to sell Lancel

Half a billion euro

The Swiss luxury group hopes to receive some 500 million euro for the French
label, having bought it in 1997 for some
210 million euro. It seems quite a hefty price for a company that has taken
losses for years: in 2011 it managed to return to positive numbers, but fiscal
year 2012 has seen another loss of 20 million euro, with a turnover of 350
million euro. Those disappointing results meant that Marty Wikstrom, CEO of
Richemont’s fashion and accessories branch, left the company last May.

Three quarters of Richemont’s
turnover comes from jewelry (Cartier, Van Cleef & Arpels) and watches (Piaget,
IWC, Jaeger-LeCoultre among others), but the company is also actively involved
in the fashion and leatherwear sector with brands like Lancel, Alfred Dunhill,
Azzedine Alaia and Chloé.