Hermès vs. LVMH: Battle Royale 101

The war rages unabated between Hermès and LVMH – here is the latest update:

  • The Hermès families have formed a nonlisted holding company that now controls more than 50 per cent of Hermès International’s capital in order to safeguard against losing majority status. However, there is one roadblock to this plan: French laws necessitate that any entity that takes control of more than one-third shares launch a public offer. Hermès has filed a request with AMF (France’s market regulator) to be exempted from this rule. In the past, AMF has granted dozens of similar exemptions and shall be announcing their current decision within a few weeks.
  • LVMH, in the meantime, has assured AMF that it has no intention of taking control of Hermès or making a public offer in the next six months. However, it hasn’t ruled out buying more shares – a quixotic stand, especially given Bernard Arnault’s track record as a corporate raider. Though its been two decades, few have forgotten his pitting of family member against family member to take control of Louis Vuitton in what is considered one of the nastiest takeovers in fashion history.
  • AMF is currently investigating the 17.1 percent stake that’s been picked up by Arnault’s company and LVMH “welcomes the move”. The investigation will most probably last several months.
  • However, according to industry insider WWD, “…it may take a few years to determine if LVMH Moët Hennessy Louis Vuitton will be able to win control of Hermès International.” A wholly believable assertion, considering it took almost three years for Arnault to win control of Louis Vuitton in the late 1980s and a similar time frame to resolve the Gucci battle in the late 1990s.
  • WWD also quotes Pierre Mallevays, managing partner of Savigny Partners, a boutique investment bank specialising in luxury goods, who predicts that the unity of the Hermès family will surely be tested by the exponential increase in its members: “You simply have more and more people that are less involved in the business, and who might prefer to have cash rather than illiquid shares. The real danger is the danger from within.” Consider the numbers: While the fourth generation of founder Thierry Hermès had only three descendants, the sixth generation has approximately 20. Will they all continue seeing eye-to-eye in the future?
  • Insiders also note that Hermès’ succession plans could also lead to explosive results as Chief Executive Patrick Thomas approaches retirement. In the absence of a clear successor, family tensions are perhaps inevitable.
  • Also inevitable is the escalating war of words, with Hermès making no secret of its dislike for the ongoing events. Patrick Thomas calls Arnault “a visitor in the garden”, while Bertrand Puech, Executive Chairman of Emile Hermès SARL, which represents the family shareholders, told Le Figaro that “The family is saying clearly and unanimously: ‘If you want to be friendly, Monsieur Arnault, then you must withdraw.’ ” Arnault, on the other hand, has maintained his silence, simply stating that he has no intention of taking over Hermès and that the share acquisition is completely in keeping with market regulations.

Keep watching this space for more on the battle of the decade!


Naughty Alice: Where Vivienne Westwood Meets Lewis Carroll

Vivienne Westwood and Lewis Carroll might have existed in two different centuries but there’s is surely a match made in couture fairyland. The glorious designer has captured the essence of Carroll’s playful, imaginery universe and channelled it into a new scent, aptly named Naughty Alice (just love the name!) – a cheeky, sexy, musky yet comforting perfume that enlivens the senses and is the perfect example of modern femininity. It references magic and mischief (drawing from both Carroll’s original and Tim Burton’s reinterpretation of Alice in Wonderland), calling on black rose, carnal violet and ylang ylang to create a sensual dream world where everything is possible and your adventurous curiosity can be unleashed. Some (like me!) would buy it for the bottle itself – it’s simple yet exquisite, complete with a Vivienne Westwood signature charm around its neck. This is one perfume that’s sure to leave you with a naughty twinkle in the eye!

World’s Oldest Perfume

Perfumes, aphrodisiacs and the art of seduction… it’s a story that began in Aphrodite’s temples. Recent archaeological discoveries reveal that the world’s first perfume was made on the Mediterranean island of Cyprus, approximately 4,000 years back. The sensual scent – a sweet and woody symphony with hints of citrus, vanilla and amber – was dedicated to Aphrodite, the Greek goddess of sexual love. It was burnt as an offering in her temples, hence the word “perfume”, which comes from the Latin per fumum: “through the smoke.”

But there is more to the story – also offered up in Aphrodite’s temples were beautiful young virgins. In fact, history shows that Cyprus was the heart of one of the ancient world’s most famous cults dedicated to sacred prostitution. Nubile girls were required to offer up their bodies up to strangers once in their lives, in tribute to the goddess. This was one half of a ritual sacrifice; the other half centred around the burning large quantities of expensive perfumes. What’s the connection? These fumes were powerfully intoxicating and sexually arousing – making them the world’s first aphrodisiacs and laying down the foundations of the links between perfume and seductive sensuality.

Potent Magic: La Prairie White Caviar Illuminating Système

What if someone could wave a magic wand across your face and banish all dark spots and pigmentation patches, while firming up your skin, boosting hydration levels and taking care of wrinkles? Well, even though it comes in bottles and droppers, rather than the tip of an enchanted wand, La Prairie’s new White Caviar Illuminating Système is a potent alchemy of precious, multitasking ingredients that ushers in a new era of enlightenment in skincare.

At the heart of this complementary three-part system, which is comprised of a fast-penetrating cream and two highly concentrated serums, lies the brand’s most iconic hallmark – rare, royal caviar! This version was born in the Caspian Sea, a place of imperial pleasures in the glorious times of tsars and princes. It is spawned by a white sturgeon, so scarce and so desirable that it was once reserved only for royalty. Now, these golden pearls join space age bio-technology to create a trio of products that is like a feast for your skin:

White Caviar Illuminating Serum: Diolic Acid, Vitamin C and Oligopeptide-34 target the full range of pigmentation problems, including age spots, melasma and dark patches. It also prevents the further development of age spots and discoloration by decreasing melanin production and lowering the transfer of melanin to the skin cells. Besides this, an anti-wrinkle peptide reduces the appearance of wrinkles caused by facial expressions; Resveratrol protects the skin against stress; and anti-oxidants nullify the effects of environmental damage and premature ageing. In the meantime, pearlescent pigments and liquid crystals give the skin a lit-from-within quality – almost like walking around with your own spotlight! Rs. 25,525 / US$450 for 30 ml

White Caviar Illuminating Cream: Going to the core of discoloration and age spots, it treats both the source of the problem and alleviates its signs. It also carries a hefty punch of Resveratrol, peptides and anti-oxidants along with a host of other space age ingredients that help maintain youthful firmness. And the effects are almost instantaneous – thanks to the water-in-oil powder emulsion. This is a unique texture, where the active ingredients are suspended in water, to be released when the cream is applied, together with emollients that protect and hydrate the skin. It also has an immediate beautifying effect, producing a thin layer of powder that gives a smooth, even appearance to your complexion. Rs. 25,525 / US$450 for 50 ml

White Caviar Illuminating Eye Serum: This calls on advanced technologies and active ingredients to zero in on dark circles, which are caused by a combination of excess pigmentation and deficient circulation. Here’s how it works: La Prairie’s Clarifying Whitening Complex and detoxifying Swiss Garden Cress Sprout Extract, together with Tragranate Licorice Extract, reduce excess under-eye pigmentation, stimulate circulation, and help prevent brown spots from forming. Golden Caviar Extracts and Anti-Wrinkle Peptides firm and nourish the skin. An eye zone-specific Crow’s Feet Plumper targets the radiating lines that form in the outer corner of the eyes by reducing the wrinkle network and increasing skin density and caffeine helps reduce the feeling of puffiness. Rs. 14,125 / US$250 for 15 ml

My favourite part besides the radiance and banishment of dark spots? The charming packaging – a medley of frosted white bottles trimmed with silver pearls, which make them resemble pieces of jewellery. Magical, indeed!

Spaaaah: Royal Chocolate Envelopment at Myrah

THE RITUAL: ROYAL CHOCOLATE ENVELOPMENT, 55 MINUTES, RS. 4,000

THE LOCATION: MYRAH, MUMBAI

What says party and decadence better than chocolate? Especially the aromatic, rich, loaded with lashings of cocoa butter kind? Unfortunately, at Myrah they don’t drizzle and slather you with the creamy, molten slabs. Fortunately, the oil is less messy and less prone to create calorie-ridden cravings than the said molten theobroma. It is deeply moisturising and helps to firm and tone the skin, providing an anti-wrinkle effect. The treatment focuses on blitzing toxins, reducing fluid retention, boosting metabolism, revitalising the immune system and lessening the effects of a bad diet. Jennie, the therapist, offers up an energising massage that relieves muscular tension and improves blood circulation, while concentrating on my shoulders, where I seem to carry all the stress of balancing a rocking nightlife with putting the magazine to bed. I leave feeling lighter and ready to take on the world!