5 times the turnover says Laurent Thoumine

Chinese groups are searching for the jewels of luxury and fashion in Europe. If the Chinese market has become a priority target for houses in the sector, Vuitton Gucci, passing by Chanel, by contrast, the Chinese investors, Fund or industrial, seek to offer iconic luxury brands known around the world. "There is not a single record today without contact with a potential candidate in emerging countries, particularly in Asia", confirms Damien Bachelot, co-Chair of the Bank business Aforge.

Evidence of this new appetite, the ready-to-wear label Cerruti was bought by Trinity Christmas Eve, a subsidiary of the Chinese group of clothing Li & Fung (16 billion of turnover), to EUR 53 million. In October, to justify taking stake in Hermes, it was in the entourage of LVMH (owner of the "voices") greed of Chinese funds for the SADDLER, in addition to Richemont.

Urgent request

This interest of Asian groups for the luxury is not new. House Lanvin belongs since 2001 to billionaire Taiwanese Shaw-Lan Wang. ST Dupont, pens and lighters specialist, is controlled by Chinese Tycoon Dickson Poon.

But their request was more pressing. Some like Fosun International, a conglomerate head to an investment fund, could be minority investors in certain luxury brands. Chinese sovereign fund CIC, head of $ 200 billion, is also mentioned among the candidates, without forgetting industry as Li & Fung.

"Asian predators are in a thirst for acquisitions and have huge means," said Laurent Thoumine, firm Kurt Salmon Associates.

Jimmy Choo, the English luxury shoe brand, could be one of the next targets. Its owner, the TowerBrook Capital Partners Fund, which controls the company at the sides of its creator, Tamara Mellon, reflects a new evolution of the capital. The claw is valued between 500 million and EUR 1 billion. Asian groups have been approached on this issue, according to a source close the case.

Why the renewed appetite for these months For specialists, this movement is part of the will of the Chinese industry of clothing does more to simply make for European brands. Most developed sales outlets to distribute these claws in recent years. They now want to control them all. The increase in costs in China indeed grows more and more fashion brands to repatriate their production in the Mediterranean basin. Hence the fear of some lose customers in an area of the top ready-to-wear range growing in China. "These investments are mainly guided by know-how in the field of fashion in Europe, explains Philippe Pasquet, Chairman of the Board of first Vision on his side." Because if the Chinese have acquired expertise in this sector, it is much more complicated to create collections to success. "These investors are ready to buy up international trademarks for which their internal market will be leveraged and that they can continue to develop in the rest of the world. And even if there are few sellers, "this does not prevent to offers with prices well above the standards, 2 to 2.5 times the turnover," says Laurent Thoumine. Including for small luxury brands still confidential.

India potential

The Indians, they are little present in textile, except Megha Mittal, the step-daughter of the magnate of steel, which bought last year Escada, the German society for ready-to-wear. "The interests of Indian investors in luxury focuses mainly on wines and spirits, note François Arpels of Bryan, Garnier & Co." It is not excluded that the Group United Breweries, number three global sector, soon interested in acquisitions in champagne. "According to, this specialist of the country, to the origin of a fund which, they are rather European luxury groups, who should buy Indian range high marks to expand internationally.