With Tiffany & Co settling into the LVMH fold nicely after the record-breaking $16.2 billion dollar acquisition, rumours are circulating that Cartier is the next target for the French luxury conglomerate. As it currently stands, Cartier is one of the few remaining global watch and jewellery brands that stand as serious competition against the $626 billion market cap group, making it a prime mark for Bernard Arnault to consider.
While talk of the acquisition is little more than a murmur at this point, the Swiss newspaper Finanz und Wirtschaft reported there were “whispers behind closed doors” about the possible deal, the enthusiasm for which has likely been bolstered by Richemont’s “all-time high” performance of which Cartier is a significant part. Alongside Cartier, the Richmont stable includes the likes of Buccellati, Van Cleef & Arpels, Chloé, IWC Schaffhausen, Montblanc, Purdey, Vacheron Constantin and many more.
While the watches and jewellery portion of LVMH’s portfolio is currently led by TAG Heuer, Bulgari, Hublot, Chaumet and De Beers, its fashion and wine and spirits brands are relatively unrivalled in their scope, with Louis Vuitton, Dior, Céline, Lowebe and Givenchy leading the charge in fashion, while Moët & Chandon, Dom Perignon, Hennesy, Belvedere, and Ardberg are among the wine and spirits. We’ll need to wait and see if these whispers become concrete statements, but LVMH is always on the hunt for quality businesses and the acquisition of Cartier would be a very significant feather in Arnault’s cap.
