LVMH invests in Foie Gras: Group buys famous Parisian bistro

PARIS (Reuters) – French luxury giant LVMH has completed the acquisition of the famous Parisian restaurant Chez L’Ami Louis, founded in 1924, continuing its diversification offensive towards lifestyle and hospitality, the company said on Thursday.

WHY IS IT IMPORTANT

As the luxury sector struggles with declining demand for high-end fashion as wealthy customers prefer experiences to accumulation of clothes and accessories, LVMH is expanding its portfolio in the fast-growing “experience-led” luxury travel and hospitality sector.

KEY QUOTE

“LVMH will work to preserve the unique character and family identity and continue to support its French savoir-faire and expertise,” said a statement from the company controlled by billionaire Bernard Arnault.

CONTEXT

LVMH, the world’s largest luxury group by market capitalization and one of the official sponsors of the 2024 Summer Olympics in Paris, is banking heavily on Paris’ image as a global capital of taste and style.

Chez l’Ami Louis, a classic bistro between the Centre Pompidou and the Place de la République, is appreciated for its foie gras and roast chicken.

The financial terms of the transaction were not disclosed.

Antoine Arnault, son of LVMH Chairman and CEO Bernard Arnault, has held a minority stake in Lapeyrouse, another famous historic Parisian restaurant, since 2019.

The group also operates hotels and recently announced that it would extend the Orient Express brand – known for its luxury rail service – to ships.

(This story has been resubmitted to correct the spelling of “foie gras” in the headline and paragraph 4.)

(Reporting by Tassilo Hummel and Mimosa Spencer; Editing by Sudip Kar-Gupta and Marguerita Choy)