PARIS — LVMH Moët Hennessy Louis Vuitton board members in late January agreed to alter the company’s legal status to better reflect its European and international scope.
The proposed change — for LVMH to become a European company (or Societas Europaea) from a French public limited company (or Société Anonyme) — is to be submitted to company shareholders at the annual general meeting on April 10.
The firm noted that the number of its brands rooted in non-French European countries has greatly increased recently, such as Hublot, which was acquired in 2008, Bulgari in 2011 and Loro Piana in 2013.
“The transformation into a European company has no impact on governance, head office domicile or stock-market listing and has no consequence for shareholders,” LVMH stated.
It added that European authorities advocate the transition from “SA” to “SE.”
Other large groups have made such a shift in the recent past, including activewear giant Puma and information technology services company Atos.