The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
LVMH said Tuesday it has agreed to acquire a 60 percent stake in Off-White LLC, the owner of the Off-White trademark.
Following the transaction, the luxury streetwear brand’s founder Virgil Abloh will retain a 40 percent interest in the company and continue in his roles as creative director of the brand, as well as menswear artistic director of Louis Vuitton.
Farfetch-owned New Guards Group, the Milan-based fashion group which founded the brand with Abloh in 2014, will continue to operate the label including production, marketing, and distribution through a licensing agreement that’s set to last until at least 2026.
Under New Guards Group’s management, Off-White has become a global brand with 56 boutiques selling hoodies, keychains, blankets and umbrella stands featuring Abloh’s signature self-referential graphics and crossed-arrow logo.
ADVERTISEMENT
LVMH and Abloh also announced they planned to expand their partnership, with plans to work together to launch new brands and energise existing ones, including through collaborations that would extend beyond the group’s fashion holdings. The conglomerate’s portfolio includes more than 70 brands ranging from wine and spirits to hotels, perfume, cosmetics and jewellery.
After training as an architect, Abloh broke into the fashion industry as the longtime creative collaborator for Kanye West. His approach blurs the lines between designer and savvy community builder, rallying fans to hype his own brand, as well as limited-edition products ranging from Nike sneakers to Ikea rugs and Evian water bottles.
The strategy has proven timely as social media’s influence in the fashion space climbed, and belonging to a consumer tribe became a key driver for young fashion shoppers.
Financial terms of the transaction were not disclosed.
Disclosure: LVMH is part of a group of investors who, together, hold a minority interest in The Business of Fashion. All investors have signed shareholders’ documentation guaranteeing BoF’s complete editorial independence.
Related Articles:
Sarah Kent is Chief Sustainability Correspondent at The Business of Fashion. She is based in London and drives BoF's coverage of critical environmental and labour issues.
Robert Williams is Luxury Editor at the Business of Fashion. He is based in Paris and drives BoF’s coverage of the dynamic luxury fashion sector.
The sharp fall in the yen, combined with a number of premium brands not adjusting their prices to reflect the change, has created a rare opportunity to grab luxe goods at a discount.
Fashion’s presence at Milan Design Week grew even bigger this year. Savvy activations by brands including Hermès, Gucci, Bottega Veneta, Loewe and Prada showed how Salone has become a ‘critical petri dish for dalliances between design and fashion,’ Dan Thawley reports.
The Hood By Air co-founder’s ready-to-wear capsule for the Paris-based perfume and fashion house will be timed to coincide with the Met Gala in New York.
Revenues fell on a reported basis, confirming sector-wide fears that luxury demand would continue to slow.