In Brief: LVMH/Douglas
This article was originally published in The Rose Sheet
Executive Summary
LVMH/Douglas: Sign cross-shareholding deal under which Moet Hennessy Louis Vuitton will acquire a 30% stake in U.K. retailer Douglas International, and Douglas will take on a 30% interest in LVMH's Paris-based fragrance and beauty retailer Sephora, LVMH announced Sept. 22. The deal will "enhance the value of Sephora and Douglas...through international development of their respective distribution networks," LVMH said. Douglas operates 190 Parfumerie Douglas stores in Europe and the U.S. and generated sales of $253 mil, in 1996. Sephora, which LVMH acquired for $258.7 mil. on July 23, operates 54 retail stores worldwide ("The Rose Sheet" Aug. 4, In Brief). Separately, LVMH reported net sales up 61.5% to $3.67 bil. Net income excluding unusual items climbed 10% to $289 mil. On a comparable basis, excluding goodwill amortization, net income would have increased 8.5%...