LVMH Moët Hennessy Louis Vuitton S.E. (ENXTPA:MC) announces an Equity Buyback for €15,200 million worth of its shares.
January 25, 2017
Share
LVMH Moët Hennessy Louis Vuitton S.E. (ENXTPA:MC) commences share repurchases on November 16, 2016 under the program mandated by the shareholders in the Annual General Meeting held on April 14, 2016. Under the program, the company will repurchase its shares such that its holding in treasury does not exceed 10% of its share capital. The shares will be repurchased at a maximum price of €300 per share for €15,200 million. The shares repurchased will be retired. The number of treasury shares provided as consideration or exchanged in the context of a merger, spin-off or contribution operation may not exceed 5% of the share capital as of the date of the operation. The share repurchase may be carried out by any method in compliance with applicable laws and regulations, including through the use of derivatives and through block purchases or sales. LVMH expects to repurchase shares in order to provide market liquidity services under a liquidity contract, cover stock option plans, the allocation of bonus shares or any other employee share ownership operations, cover investment securities conferring entitlement to the company’s shares, or be held so as to be exchanged or presented as consideration at a later date for external growth operations. The shares will be repurchased pursuant to Article L. 225-180 of the French Commercial Code. The program will be valid for a period of 18 months. As of February 2, 2015, the company has 506,980,299 issued share capital.
On November 16, 2016, the company authorized the repurchase on each day a variable number of shares at market price, for an aggregate amount of €300 million. Repurchased shares are intended to be cancelled. The repurchases will be conducted by investment services provider appointed by the company. The repurchases will commence on November 17, 2016 and will end on December 30, 2016.
LVMH Moët Hennessy Louis Vuitton SE is the world leader in luxury products. Net sales break down by family of products as follows:
- fashion and leather items (48.9%): brands such as Louis Vuitton, Kenzo, Celine, Fendi, Marc Jacobs, Givenchy, etc.;
- watches and jewels (12.8%): Bulgari, TAG Heuer, Zenith, Hublot, Chaumet, Fred brands, Tiffany, etc.;
- perfumes and cosmetics products (9.6%): perfumes (Christian Dior, Guerlain, Loewe, Kenzo brands, etc.), makeup products (Make Up For Ever, Guerlain, Acqua di Parma, etc.), etc.;
- wines and spirits (7.7%): champagnes (Moët & Chandon, Mercier, Veuve Clicquot Ponsardin, Dom Pérignon brands, etc.; No. 1 worldwide), wines (Cape Mentelle, Château D'Yquem, etc.), cognacs (mainly Hennessy; No. 1 worldwide), whisky (mainly Glenmorangie), etc.;
The remaining sales (21%) are from selective distribution through the Sephora, DFS, Miami Cruiseline chains and Le Bon Marché and La Samaritaine department stores.
At the end of 2023, products are marketed via a network of 6,097 outlets located throughout the world.
Net sales are distributed geographically as follows: France (7.9%), Europe (16.4%), Japan (7.3%), Asia (30.8%), the United States (25.3%) and other (12.3%).
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