Giorgio Armani, the legendary Italian designer who passed away on Sept. 4 at the age of 91, left a will instructing his heirs to either gradually sell the brand or pursue a listing, Reuters reported.
According to the document, an initial 15% stake in the fashion house should be sold within 18 months of the founder’s death. Then, within three to five years, an additional stake of between 30% and 54.9% should be sold to the same buyer. As per the will, French luxury group LVMH, cosmetics giant L’Oréal and Franco-Italian eyewear company EssilorLuxottica should be prioritized or another group of comparable stature identified by a foundation the designer created to preserve his legacy, with the agreement of his business partner and right-hand man Pantaleo Dell’Orco. Heirs may also consider other fashion and luxury companies with which Armani’s company has commercial ties.
An alternative to selling the second share tranche outlined in the will is to go public in Italy or another market of similar prominence. In the event of an IPO, the Fondazione Giorgio Armani would retain a 30.1% stake.
The document grants the foundation and Pantaleo Dell’Orco a combined 70% of voting rights in the Armani group.
