LVMH makes a move on Hermes

[apropos]

http://www.theaustralian.com.au/news...-1225943130689

"LVMH Moet Hennessy Louis Vuitton has taken a large stake in its rival, Hermes International, a bold move that could rekindle consolidation in the luxury goods industry."

 

[Manton]

This would certainly be terrible, and I admit I don't know anything about finance. But how could control of Hermes be jeopardized if the family still owns 72%? It would take a third of them to sell before there was any danger, right?

 

[OakCreekHitter]

Article says that part of Hermes family may want to sell their stakes.

 

[Manton]

Originally Posted by OakCreekHitter

Article says that part of Hermes family may want to sell their stakes.

It doesn't quite say that but it doens't rule it out either.

 

[MetroStyles]

...and this matters how? It can only help consumers. We will not have Hermes ties with little LV logos all over it.

 

[apropos]

Originally Posted by Manton

This would certainly be terrible, and I admit I don't know anything about finance. But how could control of Hermes be jeopardized if the family still owns 72%? It would take a third of them to sell before there was any danger, right?
Given the response of the share price to this news, we shall have to hope that 1/3 of them don't get greedy and slay the golden goose, I suppose. I have watched the quality of my mother's LV goods decline over the years, from poorer quality canvas, to poorer quality leather, to designs that clearly court fads, to hardware that has changed almost imperceptibly over time from brass to zamac. Would be a terrible thing if Hermes were led down the same garden path, and moved from luxury to a veneer of luxury.

 

[SpooPoker]

I see what LVMH did there.

 

[navysuede]

Originally Posted by apropos

Given the response of the share price to this news, we shall have to hope that 1/3 of them don't get greedy and slay the golden goose, I suppose.

I have watched the quality of my mother's LV goods decline over the years, from poorer quality canvas, to poorer quality leather, to designs that clearly court fads, to hardware that has changed almost imperceptibly over time from brass to zamac. Would be a terrible thing if Hermes were led down the same garden path, and moved from luxury to a veneer of luxury.

+1

 

[mack11211]

Originally Posted by apropos

Given the response of the share price to this news, we shall have to hope that 1/3 of them don't get greedy and slay the golden goose, I suppose.

I have watched the quality of my mother's LV goods decline over the years, from poorer quality canvas, to poorer quality leather, to designs that clearly court fads, to hardware that has changed almost imperceptibly over time from brass to zamac. Would be a terrible thing if Hermes were led down the same garden path, and moved from luxury to a veneer of luxury.

It may be bad for Hermes, but at least I learned what zamac is.

 

[apropos]

Originally Posted by mack11211

It may be bad for Hermes, but at least I learned what zamac is.

Yeah. It's light, less durable, feels like plastic even though it's a metal alloy, and most importantly, is cheap.

Has this tinny hollow cheap sounding 'clink' to it when you handle it and it strikes other metal. Unmistakable. A lot is plated with brass to give that warmer ruddier brass colour.

 

[lexmann]

It's a tradegy.

 

[onix]

I'm gonna wait after the final acquisition to sell my current Hermes collection as pre-LVMH era -> profit... ... eh, not.

 

[yfyf]

Personally, I'd be pretty disappointed if something like that happens. Hermes is the only "big luxury" group that actually represents top quality goods.

 

[voxsartoria]

This is like Allen-Edmonds making a play for Alden.


- B

 

[yfyf]

Originally Posted by voxsartoria

This is like Allen-Edmonds making a play for Alden.


- B

Seconds for seconds swap?