Editor’s Note
LVMH continues to expand its portfolio with the acquisition of a majority stake in Platinum Invest Group, parent to major French jewelry producers Orest and Abysse. This strategic move further solidifies the luxury conglomerate’s presence in the high-end jewelry sector.
Luxury giant LVMH has announced the acquisition of a majority stake in the Platinum Invest group, which includes Orest and Abysse, “major jewelry producers based in France,” according to a statement. LVMH closed the deal with Andera Partners, Bpifrance, and other shareholders, although no details were given on the transaction amount.
The reason for this move is Tiffany & Co., which has become a favorite of LVMH. This agreement will allow the group to “strengthen its production capacity in France and support its strong growth in fine jewelry,” as stated in its communication.
The group also presented its annual results, in which CEO Bernard Arnault highlighted that “Tiffany will exceed $1 billion in current operating income for the first time.” This year, the brand will also open a boutique on New York’s Fifth Avenue.
Anthony Ledru, President and CEO of Tiffany & Co., said, “The acquisition of Platinum Invest is an important step for our company and will allow us to reinforce our commitment to the highest level of quality, while expanding our production capacity to meet the growing demand of our clients.”
The Orest group was founded in 1963 in Erstein (Bas-Rhin), Alsace. A designer and manufacturer of entry-level and mid-range jewelry, it has progressively become one of the main players in jewelry production in Europe, mainly supplying luxury houses. It also manufactures its own jewelry (rings, necklaces, bracelets) and is a leader in wedding bands in France. Its expertise ranges from casting to milling, including more traditional tasks such as setting and polishing. In 2018, investors Andera Partners and Bpifrance acquired a majority stake in this SME, which then had a turnover of 50 million euros, and integrated it into the newly created holding company Platinum Invest. This operation boosted Orest’s growth, which has since increased by more than 25% per year.
Platinum Invest strengthened its position in 2022 with the acquisition of Abysse, a jewelry manufacturer founded in 1982 and the “French leader in the design and manufacturing of high jewelry.” Abysse, recognized for its craftsmanship, operates in both the very high jewelry segment, with the design and manufacturing of unique pieces, and the high jewelry segment, with the production of serial pieces and permanent collections. With this acquisition, Orest’s turnover reaches nearly 140 million euros.
Currently, Platinum Invest has a network of five workshops located in the greater east of France and employs about 800 artisans and staff.
LVMH stated, “These teams will use their skills to bring to life exceptional jewelry creations from Tiffany & Co.’s design studio in New York.”
The group also announced a turnover level of 21.03 billion euros for the first quarter of 2023. “LVMH has had an excellent start to the year in a geopolitical and economic context that remains uncertain,” the group celebrated.
The Watches and Jewelry division grew by 11% to reach 2.6 billion euros in sales. In jewelry, Tiffany & Co. had an excellent start to the year, with preparations made for the upcoming reopening of the Landmark in New York. The new Lock jewelry collection, whose success is growing, continued its global rollout. Bulgari, showing strong growth, celebrated the 75th anniversary of its iconic Serpenti line. High jewelry enjoyed very good performance. Chaumet and Fred made notable progress. To maintain and enrich its long-standing roots in art and culture, Maison Chaumet created a new engagement program, the Echo Culture Awards, which aims to support women who enhance culture through their on-the-ground actions. LVMH’s watchmaking houses maintained excellent progress and unveiled many new products at the Watches and Wonders trade fair, including innovations from TAG Heuer, Hublot, and Zenith.
It is worth noting that last January, LVMH surpassed the threshold of 400 billion euros in market capitalization, becoming the first European company to achieve this. The group’s CEO, Bernard Arnault, and his family have become the richest in the world, according to Forbes’ 2023 annual ranking, with an estimated fortune of 211 billion dollars.