Have you ever wondered who owns the luxury fashion brand Hermes? Well, the answer is not as straightforward as you might think. Let’s dive deeper into the history and ownership of this iconic fashion house.
The Beginnings of Hermes
Hermes was founded in 1837 by Thierry Hermes, a Frenchman who started out crafting high-quality leather goods such as harnesses and bridles for horses. As the business grew, so did its offerings, expanding into other leather goods like bags and wallets, eventually branching out into clothing, jewelry, and even perfume.
The Family Business
For many years, the Hermes family owned and operated the company. In fact, it wasn’t until 1978 that a non-family member was appointed CEO. Today, there are still members of the Hermes family involved in the business, with Pierre-Alexis Dumas serving as artistic director and Axel Dumas serving as CEO.
LVMH Takes a Stake
In 2010, French luxury conglomerate LVMH (Louis Vuitton Moet Hennessy) made headlines when they announced that they had acquired a 17% stake in Hermes. This move was met with resistance from both the Hermes family and other shareholders who felt that LVMH’s acquisition was hostile.
A Lengthy Legal Battle
The acquisition sparked a lengthy legal battle between LVMH and Hermes that lasted for several years. The Hermes family accused LVMH of insider trading and manipulating stock prices in order to acquire their stake. In 2015, LVMH agreed to distribute their stake in Hermes among their own shareholders and thus ended their tumultuous relationship with the luxury brand.
Current Ownership
Today, Hermes remains an independent company with its shares traded publicly on the Paris stock exchange. The Hermes family still owns a significant portion of the company, with Axel Dumas serving as CEO and chairman of the board.
In Conclusion
So, who owns Hermes? While LVMH once held a stake in the company, today it is still very much a family-owned and operated business. With its rich history and timeless style, Hermes has become an icon in the luxury fashion world, attracting customers from around the globe who appreciate its commitment to quality and craftsmanship.