2Yr·

Good noon together,

at the moment there are rumors that LVMH is interested in acquiring $RL (-2.69%) has.

I have mixed feelings about this:

Pro:

- additional revenue

- Expansion of the customer base

- Consolidation of the market in the USA

Con:

- Possible damage to image, as RL ≠ luxury

- Acquisition costs too high

I would be interested in your opinion on this. Do you think LVMH could benefit from such a takeover?

7 Comments

Max@m4xi

2Yr

That's right, something like that immediately damages the company's image. That's why LVMH also took over Birkenstock, the luxury brand🥴🥴🥴 Sry bro but RL is more in line with the portfolio 😂.

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HerrJobcenter@HerrJobcenter

2Yr

@m4xi good point. I didn't have that on my screen 😂

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MaK@DollarDon

2Yr

RL is, to my knowledge, a strong brand and an acquisition makes sense. While they are not in the top price segment they are still more expensive than most brands. The margins were allowed to be quite good 🤔

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Thomas@Thomas97

2Yr

@DollarDon I agree 👍 I also believe that acquisitions of this kind and the "expansion of the empire" will pay off for LVMH as market leader in the long term, even if it is of course associated with high costs in the short term 👍

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