LVMH to take controlling stake in Italy's Bulgari: report

By @ibtimes on

French luxury group LVMH is to take a controlling stake in Italy's luxury jeweler Bulgari in an all-share deal, the Financial Times reported.

The agreement is due to be announced later on Monday and will see the Bulgari family tender its 51 percent share in a share swap that will make it the second-biggest family shareholder in LVMH, the newspaper said.

A tender offer for the remaining listed shares will also be launched on Monday, it said.

Bulgari shares were up 0.65 percent on Friday, valuing the company at 2.3 billion euros. Citing an unnamed source close to the deal, the FT said the LVMH offer would put a significant premium on that figure.

Bulgari Chief Executive Francesco Trapani would take a senior role in the LVMH group, famous for its silk scarves, while the Bulgari family would get board representation, the FT said.

LVMH and Bulgari were not immediately reachable for comment.

(Reporting by Karolina Tagaris; Editing by Vinu Pilakkott)

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