The will of late designer Giorgio Armani instructs heirs to gradually sell the fashion brand he created 50 years ago or pursue a stock market listing, marking a notable shift for a house long known for guarding its independence and Italian roots. The directives, disclosed after his death on September 4 at 91, set out a sequenced path for ownership changes and potential market options intended to safeguard the label’s legacy while allowing an orderly transition.
Phased stake sale outlined
As per Reuters, the document states that heirs should sell an initial 15% stake in the Italian fashion house within 18 months. A subsequent tranche would then be transferred to the same buyer, bringing the total sold to an additional 30% to 54.9% between three and five years after Armani’s death. The step-by-step approach indicates a controlled process, ensuring continuity while opening the door to strategic capital and partners. By mandating that the later stake go to the same buyer, the will appears designed to avoid fragmentation of ownership and to establish a single, stable shareholder with a significant position during the transition period.
Priority buyers and oversight
The will also says that priority should be given to luxury giant LVMH, beauty heavyweight L’Oreal, eyewear leader EssilorLuxottica or another group of “equal standing” identified by a foundation established to preserve Armani’s legacy, with the agreement of his business and life partner Pantaleo Dell’Orco. The named companies underline the scale and profile of potential suitors envisaged in the document. The mechanism involving the foundation and Dell’Orco suggests a governance framework intended to align any transaction with the brand’s heritage and vision. The designer, known in the industry as ‘King Giorgio’, died with no children, and the instructions appear aimed at ensuring continuity of stewardship beyond his direct family line.
IPO option and listing venues
Alternatively, an initial public offering should be pursued, in Italy or in a market of equal standing, according to the will. Positioning a public listing as a parallel route gives the heirs flexibility to compare strategic acquisition interest with the potential benefits of a market float. An IPO path could provide broader ownership while still enabling the governance structures named in the document to influence the company’s future direction. By specifying the location parameters, the will frames the listing within markets deemed appropriate for the house’s stature, while maintaining a focus on continuity and the preservation of brand values central to its identity.
A departure from past stance
The explicit mention of stake sales and of France-listed players as potential buyers is in stark contrast with Giorgio Armani’s persistent refusal to dilute his control or list his fashion group on the stock market. This change of course, set out in his final directives, reflects a pragmatic approach to succession for the brand he began 50 years ago. While the company has long emphasised independence and its Italian roots, the will lays out clear routes to either consolidate with a major industry player or enter public markets, with structures meant to guide choices that respect the house’s legacy even as ownership evolves over time.