Richemont acquires 5% stake in Dufry
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In big breaking news, Richemont Luxury Group has taken a stake of just over 5% stake in the world’s leading travel retailer Dufry.
Under Swiss Stock Exchange (SIX) regulations, any holding of more than 3.0% must be publicly disclosed with 24 hours. Richemont Luxury Group is the direct shareholder while the beneficial owner/persons that can exercise the voting rights at their own discretion is Compagnie Financiere Rupert of Geneva, Switzerland.
Richemont has picked up 2,693,856 rights and voting rights, respectively and precisely 5.000001 % as a percentage of voting rights.
The surprise news comes hot on the heels of HNA Group of China acquiring 16.79% of Dufry.
Richemont owns several of the world’s leading luxury goods companies, with particular strengths in jewellery, luxury watches and premium accessories.
The Group’s luxury interests encompass several of the most prestigious names in the sector, including Cartier, Van Cleef & Arpels, Piaget, Vacheron Constantin, Jaeger-LeCoultre, IWC Schaffhausen, Panerai and Montblanc.
Richemont’s arch luxury goods rival LVMH is the majority shareholder in Dufry sector peer, DFS Group. Co-Founder Robert Miller remains DFS’s co-owner.
In the year ended 31 March 2017, Richemont posted a -4% decrease in sales, which it said reflected a growth in retail sales offset by a decline in wholesale business. Operating profit fell -14%.
The second half of the year, though, saw an improvement. The USA, Richemont’s largest market, resumed growth while Mainland China, now the Group’s second largest market, enjoyed strong growth along with South Korea, the UK and Macau.
Questions & Answers
Q.Who is the ultimate owner behind Richemont's stake in Dufry?
Who is the ultimate owner behind Richemont's stake in Dufry?
The direct shareholder is Richemont Luxury Group. However, the beneficial owner with discretionary voting rights is Compagnie Financiere Rupert, based in Geneva, Switzerland.
Q.What is the exact percentage of voting rights Richemont has acquired in Dufry?
What is the exact percentage of voting rights Richemont has acquired in Dufry?
Richemont has acquired precisely 5.000001% of the voting rights in Dufry. This triggers a public disclosure requirement under Swiss Stock Exchange regulations for holdings over 3%.
Q.How did Richemont's financial performance look in the year ending 31 March 2017?
How did Richemont's financial performance look in the year ending 31 March 2017?
Richemont experienced a 4% decrease in sales and a 14% fall in operating profit. This was due to growth in retail sales being offset by a decline in wholesale business, though the second half saw improvement.
Q.Which of Richemont's markets showed strong growth in the second half of the last financial year?
Which of Richemont's markets showed strong growth in the second half of the last financial year?
The USA, Richemont's largest market, resumed growth. Mainland China, their second largest, showed strong growth, as did South Korea, the UK, and Macau.
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