It’s true! French conglomerate LMVH announced that it is selling Donna Karan International, Inc. to G-III Apparel Group, an American manufacturing and licensing company for $650 million. The sale is expected to close in late 2016 or early 2017.
LMVH, which owns luxury brands Louis Vuitton, Fendi, Céline, and Givenchy, will now own only one American brand, Marc Jacobs. The luxury conglomerate has only sold one other fashion brand in its history, and that was Christian Lacroix in 2005. Tony Belloni, Group Managing Director of LMVH, said the decision to sell came only after G-III approached the company.
“Donna Karan International has a deep heritage, global recognition, and renewed energy. We believe the DKNY brand has a dynamic position in the market, and when G-III approached us about acquiring the brand, we concluded that the time was right and that G-III was the right steward going forward. We are pleased to have reached an agreement with G-III, a company that has the expertise and capabilities to broaden the brand’s distribution and take it to its next level of success.” – Toni Belloni, Group Managing Director of LVMH
G-III, which holds licenses for Calvin Klein, Tommy Hilfiger, Ivanka Trump, Vince Camuto, Levi’s, Karl Lagerfeld, Cole Haan, Guess, and more, has major plans for Donna Karan International, Inc. The company said it wants to double the brand’s current revenue, bring back the Donna Karan line and the charitable fashion line Urban Zen, and make DKNY bigger and better through different licensing projects. LMVH originally halted any further Donna Karan collections after Donna Karan left her company, and it seems as though DKNY creative directors Dao-Yi Chow and Maxwell Osborne, who are also the creative directors of Public School, aren’t going anywhere.
We can’t wait to see what G-III does with the brand in the coming months and years.