Topline
For half a century, Giorgio Armani fiercely protected the independence of his company, yet following his passing, his will outlines a plan for gradually selling a stake in the Giorgio Armani Group or filing an IPO if a suitable buyer isn’t found, according to Reuters.
TOPSHOT – Italian designer Giorgio Armani acknowledges the applause at the end of his presentation for Armani Prive during the Women’s Haute-Couture Spring/Summer 2025 Fashion Week to mark its 20th anniversary, in Paris on January 28, 2025. (Photo by JULIEN DE ROSA / AFP) (Photo by JULIEN DE ROSA/AFP via Getty Images)
AFP via Getty Images
Key Facts
Giorgio Armani left 40% control of the business to longtime collaborator and menswear leader Pantaleo Dell’Orco.
The Giorgio Armani Foundation, which has the responsibility of naming a new corporate CEO, will receive 30% of shares and its holdings must never fall below that level.
Family members, niece Silvana Armani, who oversees the womenswear line, and nephew Andrea Cameana, sustainability managing director, receive 15% each and sister Rosanna, who sits on the board, and niece Rosanna receive non-voting shares.
The will specifies that not before one year but within 18 months, his heirs may sell up to 15% of the company, followed by the sale of a second 30% to 54.9% tranche of shares to the same buyer after three to five years
Armani named preferred buyers as luxury market leader LVMH group, as well as licensing partners EssilorLuxottica and L’Oréal.
Alternatively, if a suitable buyer is not found, a similar share of stock can be floated on a public stock exchange – preferably in Italy or another of the same standing – with the foundation retaining a minimum of 30.1% shares.
Key Background
Since establishing his namesake brand in 1975, Giorgio Armani maintained tight control of his company, spurning potential suitors and refusing to go public in order to stay true to his artistic vision and build a lasting legacy in the world of luxury fashion. In 2016, he codified that legacy by establishing the Giorgio Armani Foundation to “safeguard the governance assets of the Armani Group and ensure that these assets are kept stable over time.” At the time, the foundation owned less than a 1% share of the company, but now, after his passing, it receives 30% of shares and voting rights. Dell’Orco is currently chairman of the foundation.
Cruicial Quote
“The will specifies that all short- and medium-term strategic decisions will rest with Mr. Dell’Orco and the family, supported by the foundation; however, these decisions were guided by Mr. Armani himself, both in terms of the brand’s mission and in possible actions with implications for the group’s medium- and long-term structure,” the Giorgio Armani executive committee said in a statement. “In this light, the will makes reference to a stock market listing as well as the opening to a minority partner of recognized standing and genuine interest in the brand. The responsibility for decisions and management of this process will remain with Mr. Dell’Orco and the family, under the guidance of the foundation, but always within the principles and rules defined by Mr. Armani.”
Potential Suitors
LVMH chairman Bernard Arnault has long been rumored to be interested in acquiring the Armani brand, but nothing concrete has ever materialized. LVMH’s fashion and leather goods holdings totaled $48 billion in 2024, compared with Armani Group sales of $2.7 billion last year. LVMH maintains decentralized control of the 70 luxury brands in its portfolio, so it would be a fitting acquirer to maintain the brand’s artistic independence. In addition, analyst Mario Ortelli observed Armani has “great white space” in the accessories category where LVMH could help the brand gain traction. Beauty industry leader L’Oréal is a longtime Armani partner; however, it has no experience or holdings in the fashion market. L’Oréal brags: “One focus: beauty, nothing but beauty and all beauty.” Eyewear powerhouse EssilorLuxottica is also a longtime brand partner, but unlike L’Oréal, it has made forays into fashion. It acquired the streetwear Supreme fashion brand from VF Corporation for $1.5 billion last year and also owns outdoor athletic brands Oakley and Costa.
What To Watch For
Whether Armani’s heirs pursue a sale or an IPO, a suitable CEO will be needed to keep the company moving forward. As of yet, no CEO has been named. However, two likely candidates are longtime employees Giuseppe Marsocci and Daniele Ballestrazzi, both of whom were promoted to deputy general managers earlier this year. Marsocci is responsible for sales and marketing and Ballestrazzi oversees finance and operations.
Further Reading
Armani Will Plot Twist: Why It Matters (Vogue Business, Sept. 9, 2025)
Giorgio Armani Towards Gradual Sale or IPO According To will. Foundation Never Below 30% (La Repubblica, Sept. 9, 2025)
In Surprise Twist, Armani’s Will Sets Stage For Sale Of Fashion Empire (Reuters, Sept. 12, 2025)
Source: https://www.forbes.com/sites/pamdanziger/2025/09/12/giorgio-armanis-will-opens-the-door-to-a-partial-sale-or-ipo/
