Editor’s Note
This article examines the luxury conglomerate’s acquisition of the Italian-French Pedemonte Group, a move that bolsters its jewelry and watch production capacity and tightens supply chain control.
By acquiring the Italian-French goldsmith group, the luxury conglomerate expands the production capacity of its jewelry and watch sector and strengthens control over the supply chain.
The Pedemonte Group was formed in 2020 from the merger of several independent production facilities from Northern Italy and Paris, currently employing a total of 350 people. Together, the group’s companies cover all areas of jewelry manufacturing, both in traditional craftsmanship and using modern equipment.
Villa Pedemonte Atelier (VPA) specializes in the serial production of jewelry in the lower and middle price segment for large international brands. Lombardi and Greco F.lli are renowned supplier companies for jewelry brands in the premium and luxury segment, Gieffedi specializes in setting gemstones and pearls. Atelier Thea was originally primarily responsible for coordination between VPA production and French customers and expanded its services in 2019 to include its own haute joaillerie goldsmith atelier.
With Vendorafa, the Pedemonte Group also has its own B2C premium brand. Vendorafa was founded in 1951 by Lombardi and is a typical representative of Italian goldsmith art and an interesting addition to LVMH’s jewelry brands. The brand is distributed exclusively through specialist retailers, currently mainly in Italy, France, the USA, and Japan.
“We are very pleased to welcome the teams of the Pedemonte Group and its subsidiaries, with whom we have been working for many years,” says Stéphane Bianchi, Chairman and CEO of the Watches & Jewelry Division of LVMH. This division achieved sales of 7.57 billion euros in the first three quarters of 2022, which corresponds to an increase of 16% at constant exchange rates compared to the same period last year.
The acquisition is a strategically important step for the luxury group to strengthen cooperation with suppliers crucial for expanding its jewelry and watch sector. Other major luxury houses are pursuing similar concepts. For example, Chanel has acquired or taken stakes in a number of supplier companies from various sectors in recent years, including Lésage (embroidery), Goosens (costume jewelry), Desrues (costume jewelry, accessories, and buttons), Causse (gloves), Massaro and Ballin (shoes), or tanneries and leather processors such as Gaiera, Samanta, and Tanneries Haas.
“With Pedemonte, our maisons gain a partner known for its expertise to support their growth and maintain their leadership position in the jewelry sector,” explains Toni Belloni, Deputy General Director of the LVMH Group.
Gian Andrea Garrone, Chairman and CEO of the Pedemonte Group, also sees clear advantages for his company: “Joining the LVMH Group is a source of pride and motivation for the entire management team and our employees, and will enable us to realize our ambitions regarding the company’s economic development and the strengthening of our human resources, which are at the heart of our activities. We will also pursue an ambitious investment policy to meet new challenges, particularly in the technical area.”
The companies of the Pedemonte Group have already been working for many years for the jewelry and watch brands of the LVMH Group.
