Nov 29, 2022
LVMH buys jewellery producer Pedemonte
Nov 29, 2022
Last Friday, LVMH announced the acquisition of the Pedemonte group, a manufacturer of fine and series-produced jewellery based in Italy and France. For the world’s top luxury group, it is the opportunity to “significantly increase its production capabilities.” LVMH has acquired Pedemonte from the Equinox investment fund, according to a press release that did not specify the value of the transaction.
The Pedemonte group was set up in 2020 following the merger of various independent jewellery production workshops, and is a mix of craftsmanship and advanced technology.
The group’s VPA, Lombardi, Greco F.lli, Gieffedi and Thea workshops all produce jewellery for leading international brands.
Some of them, like Lombardi, manufacture tailor-made fine jewellery. VPA, founded in 1982, instead combines traditional jewellery production with serial production using digitally controlled machining centres.
The group’s various entities are complementary, and currently employ 350 artisans. Pedemonte also owns the Vendorafa jewellery brand, founded in 1951.
The acquisition will enable the LVMH group “to significantly increase its production capabilities, at a time when its existing workshops are already deploying all their resources to support the strong growth of the [group’s] jewellery division,” said LVMH.
In the first nine months of the year, LVMH’s watches and jewellery division generated a revenue of €7.57 billion, up 16% compared to the same period in 2021, in like-for-like terms and at constant exchange rates.
“With this strategic acquisition (...), the LVMH group has further strengthened its presence in Italy while continuing to support the ecosystem of companies that contribute to the success of our maisons,” which “will be able to rely on a partner recognised for its know-how to support their growth,” said Toni Belloni, deputy managing director of LVMH, cited in the press release.
Angelo Facchinetti, a partner at Equinox, also cited in the press release, was pleased that “the deployment of a high-performance manufacturing platform has garnered the interest of an international player as relevant and important as LVMH.”
According to Gian Andrea Garrone, CEO of Pedemonte, also cited in the press release, “this operation will allow us to maintain our ambitions in terms of development, training and strengthening of our human resources. (...) We will also pursue an ambitious investment policy to meet new challenges, particularly in the technology field.”
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