PARIS (Reuters) – LVMH <LVMH.PA> said on Thursday Frederic Arnault, one of the younger sons of the luxury goods group’s billionaire boss, would take over running watch brand Tag Heuer, joining his siblings in taking on bigger roles within the conglomerate.
The Arnault family controls just under half of LVMH, which has vastly expanded through acquisitions under CEO Bernard Arnault, France’s richest man, and owns fashion labels such as Louis Vuitton and also champagne and jewellery brands.
Frederic Arnault, 25, will step up at Tag Heuer as of July 1, the company said. He had previously worked at the label, but with a focus on developing its digital activities, at a time when watch brands are struggling to re-invent themselves for a younger clientele and face falling demand.
Four of Bernard Arnault’s five children now occupy senior positions within the group, including at Vuitton and at luggage maker Rimowa.
LVMH also said in a statement that Stephane Bianchi, who oversees all watch brands, would expand his remit to take the helm of jewellery brands too, with the exception of Bulgari.
Other brands include Chaumet.
LVMH last year agreed to buy U.S. jeweller Tiffany for $16.2 billion, vastly expanding its footprint in one of the fastest-growing segments of the luxury market. Retailers have since been hit hard by the coronavirus crisis, however, and sources have said LVMH is now exploring options to try and lower the purchase price.
(Reporting by Sarah White; Editing by Elaine Hardcastle and Mark Potter)