Finalising a commercial deal worth $3.2 billion, Louis Vuitton’s parent company, LVMH, has announced that it will be acquiring luxury hotel and leisure brand Belmond Hotels in a transaction that is expected to complete in the first half of 2019.
With a 40-year heritage, Belmond currently owns and operates in 24 countries boasting a global portfolio of 46 hotel, rail and river cruise experiences. Some of the group’s most notable properties include Italian celebrity hotspot, Belmond Hotel Cipriani, Copacabana Palace in Rio de Janeiro and Hotel Splendido in Portofino.
“Today’s announcement is the result of a strong execution of our strategic vision that builds on our pioneering legacy and is an exciting development for all stakeholders, including our employees,” said Roeland Vos, President and CEO, Belmond.
“We are confident that, as part of LVMH’s world-class family of brands, Belmond’s ability to deliver timeless, one-of-a-kind luxury experiences will reach new levels.”
Through the acquisition, LVMH will greatly increase its presence in the luxury hotel market, an area that complements its existing high-end consumer goods offerings. The announcement marks the group’s second transaction in the world of hotels, after taking a significant stake in the Cheval Blanc hotel chain back in 2009.