The French luxury conglomerate is creating a new logistics hub in northern Italy to replace controversial Swiss operations.

LGI, the company’s subsidiary in the lower-tax region of Ticino, Switzerland was the subject of an investigation that led to a historic tax settlement with the Italian government for $1.4 billion in 2019.

Now the company is preparing to reroute logistics for e-commerce, wholesalers, and retail stores through a sprawling warehouse in Piedmont, Italy as it winds down the Swiss operation. The new facility, which partly opened last year, will employ around 900 people by the end of 2022, Kering said Thursday.