Yahoo Finance LVMH goes fois gras as group buys famous Paris bistrot
PARIS (Reuters) - French luxury giant LVMH completed its acquisition of Paris's famous restaurant "Chez L'Ami Louis", established in 1924, as the group continues its diversification push towards lifestyle and hospitality, the company said on Thursday.
WHY IT IS IMPORTANT
As the luxury sector grapples with declining demand for high-end fashion as wealthy clients favor experience over accumulating apparel and accessories, LVMH is expanding its portfolio in the fast-growing "experiential" high-end travel and hospitality sector.
KEY QUOTE
"LVMH will work to preserve the unique character and family identity and continue to support its French savoir-faire and expertise," the company, controlled by billionaire Bernard Arnault, said in a statement.
CONTEXT
LVMH, the world's largest luxury group by market capital and one of the official sponsors of the Paris 2024 Olympic Summer Games, is heavily banking on Paris's image as a global capital of taste and style.
Chez l'Ami Louis, a classical bistrot situated between the Centre Pompidou and Place de la Republique, is cherished for its fois gras and roasted chicken.
The financial terms of the deal were not disclosed.
Antoine Arnault, son of LVMH chairman and CEO Bernard Arnault, has since 2019 held a minority stake in Laperouse, another famous historic Paris restaurant.
The group also operates hotels and recently said it would expand the Orient Express brand—famous for luxury train service— into boats.
(This story has been corrected to fix the spelling of Laperouse in paragraph 6)
(Reporting by Tassilo Hummel and Mimosa Spencer; Editing by Sudip Kar-Gupta and Marguerita Choy)
