French Luxury Group LVMH headed by the billionaire CEO Bernard Arnault has announced its intention to take over another luxury brand Christian Dior for USD 13 Billion.
The news immediately reflected on the share prices of Dior which soared to a record high of 13%.
Though Arnault is the Chairman of both the firms, his family only holds a controlling interest in Christian Dior.
The family is offering to pay a 15% premium for the 26% of Dior they do not own . The deal would also bring Dior’s couture business under the flagship of LVMH which already manages brands including Louis Vuitton, TAG Heuer, Moët & Chandon and Benefit Cosmetics.