Dieter Morszeck, grandson of the founder of premium luggage brand Rimowa, has agreed to sell a majority stake of the brand to the LVMH Group. Morszeck will continue to hold equity in the business and maintain his leadership functions.
The transaction, subject to the approval of the competition authorities, relates to 80 percent of the shares for a value of 640 million euros (approximately $715 million USD) and is due to complete in January 2017. Rimowa will then become the first German Maison of the LVMH Group
Upon completion of the transaction, Alexandre Arnault will be appointed co-CEO of Rimowa.
“My grandfather founded Rimowa more than a century ago and I joined the company 44 years ago,” said Morszeck. “By entrusting this family venture to the LVMH Group, we are guaranteeing a promising future to all Rimowa employees. Over the past two years I have had the opportunity to establish close ties with the Arnault family and in particular with Alexandre. Alexandre and I have discussed at length the attractive development prospects available to us and the common values that we share. I am delighted that he is joining Rimowa and I have full confidence in his ability to accelerate the development of the business by my side.”
“Rimowa is a superb business which I have followed as a loyal customer for many years,” added Arnault. “Rimowa has revolutionized the luggage industry for over a century, its suitcases are renowned for their unique performance, quality and design. I am honored to join Rimowa and to be working alongside Dieter.”