Although Luca de Meo had reassured investors since taking the helm at Kering, the leak of the group’s recovery plan, communicated internally to senior executives, was rather poorly received by the stock market. According to the new CEO, the luxury group is not expected to return to “optimal financial performance” for another three years.
Since taking over as CEO of Kering in mid-September, Luca de Meo has been busy.
Several measures have been officially announced. In addition to postponing the acquisition of Valentino, the luxury group recently announced a strategic alliance with L’Oréal, with the eventual possible sale of its Kering Beauty division to refocus on its core business, luxury fashion.
But while these bold decisions had boosted the luxury group’s share price, this time it is an unofficial document, leaked via Reuters, that has caused the stock to cool somewhat…
New priorities
The internal memo obtained by Reuters summarizes a document called “ReconKering,” in which Luca de Meo lists the group’s new priorities for its senior executives.
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Read also > Kering slows its decline in the third quarter
Featured photo: © DR
