LVMH agrees to sell Marc Jacobs brand to WHP, G-III
In a filing, G-III says it plans to invest up to US$425 million in the 50-50 venture
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[NEW YORK] Louis Vuitton Moet Hennessy (LVMH) agreed to sell the Marc Jacobs fashion label to a venture between WHP Global and G-III Apparel Group, marking a rare divestment for the world’s largest luxury group as it adjusts to softer demand.
Financial terms were not disclosed, though G-III said in a filing that it plans to invest up to US$425 million in the 50-50 venture. Jacobs, the brand’s founder, will continue as creative director for the affordable luxury label, the companies said on Thursday (May 14).
Marc Jacobs adds to WHP Global’s growing roster of businesses, which include Vera Wang and Rag & Bone. The acquisition will push the brand management group’s annual revenue to more than US$9.5 billion, it said.
Controlled by billionaire Bernard Arnault, LVMH has about 75 brands including Louis Vuitton, Christian Dior and Loewe, and has held a majority stake in Marc Jacobs since 1997.
The deal allows the group to capitalise on a years-long turnaround of the brand, while offloading a business in the accessible luxury category to focus on its higher-end offerings.
Marc Jacobs did not fit neatly into LVMH’s typical brand development formula, which involved pushing labels upmarket and expanding them globally. Bloomberg had reported in 2024 that LVMH was weighing options for the business.
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Shares of LVMH declined as much as 1.8 per cent in Paris trading, and have fallen by almost 30 per cent this year.
While it has been unusual for the acquisitive conglomerate to sell its brands, that could be changing.
Last year, chief financial officer Cecile Cabanis said on an earnings call that the company would not hold onto labels “if we believe they are not a good add-on or we are not the right operator”.
Jacobs was an artistic director for more than a decade at the Louis Vuitton brand, LVMH’s biggest profit contributor. The New York native founded the namesake label in 1984, alongside business partner Robert Duffy.
LVMH’s performance lost steam at the start of 2026 as conflict in the Middle East curbed luxury purchases in the region. That outweighed signs of improvement in China and the US.
As part of the Marc Jacobs deal, G-III, which owns labels including Donna Karan, Karl Lagerfeld and Sonia Rykiel, will “acquire and operate certain parts of the brand’s global direct-to-consumer and wholesale businesses”, based on the statement. BLOOMBERG
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