Mergers and acquisitions in the luxury sector: pause or continue?

Following the COVID period, mergers and acquisitions in the fashion and luxury sector have slowed down over the past two years. Whether due to a decline in appetite for the sector’s gems or an erosion of the pool of available brands, the trend appears to be continuing in 2025, according to preliminary findings from the latest Deloitte report, “Fashion & Luxury Private Equity and Investors Survey 2025,” to be released on September 25.

Despite the economic climate, the fashion and luxury sector remains attractive for mergers and acquisitions. The sector continues to attract nine out of ten investors in 2025, even if the threat of higher customs duties under the highly unpredictable Trump administration is weighing on their minds.

Entitled “Fashion & Luxury Private Equity and Investors Survey 2025,” the latest report from Deloitte was conducted globally with a panel of 60 private investors and more than 114 companies active in the fields of fashion and accessories, watches and jewelry, perfumes and cosmetics, luxury cars, luxury hotels, private jets, cruises, furniture, yachts, and luxury restaurants.

2024 already on the decline

In 2024, the high-end segment recorded 308 transactions, compared to 333 in 2023, 25 fewer than the previous year. In the luxury goods segment alone, which accounts for 40.2% of total transactions, the number of deals concluded in 2024 fell by 6.3%.

However, 2024 was marked by the acquisition of the luxury e-commerce platform YNAP (Yoox-Net-a-porter) by the German e-commerce company Mytheresa from the Swiss luxury group Richemont.

On the other hand, the merger between American giants Capri, owner of Michael Kors, and Tapestry, owner of Coach, was rejected by the US authorities in the name of combating the formation of trusts, depriving the country of its first national luxury conglomerate.