Kering is transferring these assets into a newly formed joint venture, with Ardian, a leading global private investment firm, securing a 60% share in the high-end real estate portfolio. Kering will retain a 40% ownership. The transaction will yield Kering €837 million in net proceeds.
This deal aligns with Kering's strategic approach to selectively acquire exceptional retail properties in the most iconic luxury districts around the world, ensuring long-term value for its Houses.
For Ardian, this partnership presents a rare opportunity to strengthen its presence in Paris's real estate market. The investment provides access to some of the most exclusive and sought-after properties, situated on the city's most renowned high streets.
The deal is expected to finalize in the first quarter of 2025, subject to the completion of customary real estate transaction conditions.
Jean-Marc Duplaix, Kering's Deputy CEO and COO, commented: "We are delighted with this partnership, which allows us to secure key retail locations for the long term while maintaining financial flexibility. With Ardian, a respected investment firm, we share a French heritage and a mutual vision for the future."
Stéphanie Bensimon, Executive Committee Member, Board Member of Ardian France, and Head of Real Estate at Ardian, stated: "We are excited to collaborate with Kering, a global luxury leader, to invest in iconic properties located on Paris's premier luxury streets. This innovative, long-term partnership marks a transformative step in real estate strategies for luxury brands like Kering, while opening new growth opportunities and maximizing value for our investors."
About Kering
Kering is a global leader in luxury, managing a portfolio of renowned Houses in Fashion, Leather Goods, and Jewelry: Gucci, Saint Laurent, Bottega Veneta, Balenciaga, Alexander McQueen, Brioni, Boucheron, Pomellato, DoDo, Qeelin, and Ginori 1735, along with Kering Eyewear and Kering Beauté. Placing creativity at the center of its strategy, Kering empowers its Houses to explore new creative frontiers while promoting sustainable and responsible practices. The group’s motto, "Empowering Imagination," encapsulates this vision. In 2023, Kering reported a revenue of €19.6 billion and employed 49,000 people worldwide.
About Ardian
Ardian is a globally recognized private investment firm, managing $176 billion in assets for over 1,720 clients across the globe. With expertise spanning Private Equity, Real Assets, and Credit, Ardian offers a diverse range of investment opportunities and customized solutions to meet clients' needs. The firm places a strong emphasis on responsible investment and ethics, guided by a commitment to high standards of social responsibility. Ardian's employees, who own the majority of the company, play an integral role in fostering a collaborative and innovative culture. With over 1,050 staff across 19 offices worldwide, Ardian is dedicated to making finance a force for good.
Article source : https://www.kering.com/en/news/kering-and-ardian-sign-an-investment-agreement-regarding-prime-real-estate-assets-in-paris/
