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Which luxury fashion brand will Lanvin Group acquire next? Inside the upcoming plans of China’s Fosun International Ltd., from New York Stock Exchange additions to breaking into the Gen Z market

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China’s Fosun International Ltd., which owns Lanvin among other brands, is looking to add to its fashion portfolio. Photo: Handout
China’s Fosun International Ltd. is on the hunt for an addition to its collection of fashion brands, which includes Lanvin and St John Knits – a sign of luxury’s resilience despite high inflation and recession concerns.
US model Bella Hadid presents a creation by Lanvin during the Women’s spring/summer 2020 ready-to-wear collection fashion show in Paris, in September 2019. Photo: AFP
First, Fosun aims to float Lanvin on the New York Stock Exchange via a blank-check company in October or November, said Joann Cheng, chairman and chief executive officer of Lanvin Group. A potential acquisition would come after that, “ideally later next year”, she said in an interview, adding “we’re not in a rush”.
Joann Cheng, chairman of Fosun Fashion, the owner of Lanvin. Photo: Handout

Lanvin houses the eponymous French fashion brand as well as Italian shoemaker Sergio Rossi, Austrian lingerie brand Wolford, US womenswear St John Knits and Italian menswear brand Caruso. “We are screening good targets in the market,” Cheng said.

US model Gigi Hadid presents a creation by Lanvin during the women’s spring/summer 2020 ready-to-wear collection fashion show in Paris, in September 2019. Photo: AFP
The company is looking to boost sales in the US and China while adding new product areas and diversifying beyond European brands and into a younger age bracket. Fosun, a Chinese conglomerate, bought a controlling stake in Lanvin in 2018 and has continued to add new brands since then.

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Guo Guangchang, chairman of Fosun Group, in Shanghai, in November 2018. Photo: Simon Song

The purchase could follow the template established by Lanvin’s acquisition of Sergio Rossi last year, which allowed it to bolster its offering of accessories, co-chief operating officer David Chan said. The company is looking at areas including beauty and skin care as well, he said.

Sergio Rossi carries footwear and accessories for women at its free-standing boutique in Pacific Place, Hong Kong. Photo: Handout

Cheng said she’s confident that high-end shoppers globally will continue to spend despite worsening economic conditions. “This segment is quite resilient,” she said, citing luxury shoppers’ “very stable incomes”.

A partial reopening of stores and offices in Beijing, on May 29, was welcomed by a weary populace and struggling shopkeepers eager for life to return to normal. Photo: AP Photo

In a statement Monday, July 11, Lanvin said its 2021 revenue grew 39 per cent, including sales from Sergio Rossi after the brand was acquired in the second half. Lanvin is “well on track” to achieve profitability before taxes, depreciation and other items by 2024 as planned, the company said. It also filed its registration statement to list with the Securities and Exchange Commission.

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Fashion
  • Lanvin acquired Italian shoemaker Sergio Rossi last year and also houses Austrian lingerie Wolford, US womenswear St John Knits and Italian menswear Caruso
  • The group is confident that the luxury sector is ‘resilient’ and that high-net-worth individuals will continue to splurge despite worsening economic conditions