At its annual meeting Thursday, LVMH shareholders approved the luxury conglomerate’s proposal to add two more of chairman Bernard Arnault’s children to its board of directors.
Alexandre Arnault, aged 31, will serve on the board in addition to his current role as Tiffany’s executive vice president for product and communications. 29 year-old Frédéric Arnault, chief executive of LVMH Watches, was also approved as a director.
The two brothers join older siblings Antoine and Delphine, meaning that 4 out of Arnault’s 5 heirs now serve on the board. Arnault’s youngest child, Jean, has also taken on a management role as director of Louis Vuitton’s watch division.
Succession has become a major theme for luxury’s biggest group in recent years. Bernard Arnault, age 75, has restructured his holding companies, placing his controlling interest in LVMH in a stock-share partnership that would help perpetuate family control.
Meanwhile, key longtime leaders have retired from key positions in recent months. Sidney Toledano, formerly CEO of Christian Dior and then chief of LVMH’s Fashion Group, transitioned to an advisory role in January, while Antony Belloni, formerly the group’s second-in-command as deputy CEO, announced his departure last month.
Toledano was replaced by ex-Louis Vuitton chief Michael Burke. Belloni is set to be succeeded by Stéphane Bianchi, head of the group’s watches and jewellery division.
Learn more:
Luxury’s Succession Era
Ageing billionaire founders still control luxury’s biggest groups. Recent appointments at LVMH and Prada have pushed the long-taboo topic of succession into the spotlight.
