Bulgari family sell shares in LVMH

Sales at French luxury group LVMH fell 3.5% when the Bulgari family sold its shares. The family acted upon the advice from the same financial consultant who acted as their advisor when they sold the Bulgari 'family jewels' to LVMH last year for a 60%

premium.

Bulgari chairman Paolo Bulgari and Bulgari vice-president Nicola Bulgari and nephew Bulgari chief executive Francesco Trapani sold their €558 million (£465m) share.

Last week LVMH posted strong watch and jewellery sales for the year to December 31 up 23% with doubled profits. LVMH said that Bulgari recorded strong revenue growth in 2011 across all its product categories through its own stores as well as other distribution channels.

LVMH chief executive Bernard Arnault added that “the agreement with the Bulgari family was one of the key moments of the year” for the luxury group.

Last March LVMH announced it was acquiring Bulgari SpA in an all-share deal for €4.3 billion, higher than LVMH had offered for any other company. Under the deal, the Bulgari family sold their 50.4 per cent controlling stake in exchange for 3 per cent of LVMH, thereby becoming the second-biggest family shareholder behind the Arnaults in LVMH.

Image: Bulgari