<\/p>\n
\n\tMILAN \u2014 Kering has secured another deal as part of its real estate strategy, allowing the French group to raise additional cash and reduce its debt.<\/p>\n
\n\tOn Wednesday, Kering revealed it had signed an agreement with Al-Mirqab Group, creating a newly incorporated joint stock company and selling a majority stake in its building on 8 Via Monte Napoleone in Milan.<\/p>\n
\n\tAs per the agreement, the Qatar-based business services group Al Mirqab holds 80 percent of the asset and Kering retains the remaining shares.<\/p>\n
\n\tThe 18th-century edifice is one of the largest properties on the tony shopping street and it stands on a key, central position on the corner with Via Sant\u2019Andrea, housing the storied Cova coffee and pastry house and a Prada boutique, among other luxury stores.<\/p>\n
\n\tKering received proceeds of 729 million euros at closing, while a remaining 432 million euros will be paid to the group five years later, for a total of more than 1.1 billion euros. <\/p>\n
\n\tIn 2024, Kering acquired the five-floor building for about 1.3 billion euros from a subsidiary of Blackstone Property Partners Europe. The property includes more than 5,000 square meters of retail space, making it one of the largest in Via Monte Napoleone.<\/p>\n
\n\tSince his arrival in September, Kering chief executive officer Luca de Meo has taken rapid action to tackle the debt load. In December, Kering revealed a joint venture agreement with private equity firm Ardian for its property at 715-717 Fifth Avenue in New York City.<\/p>\n
\n\tArdian holds a 60 percent stake, and Kering the balance. The transaction was valued at $900 million, with Kering netting $690 million.<\/p>\n
\n\tThe address comprises multilevel luxury retail spaces totaling about 115,000 square feet.<\/p>\n
\n\tIn January last year, Kering\u00a0transferred three prestigious Paris properties\u00a0to a joint venture with Ardian in a deal valued at 837 million euros. Ardian similarly took a 60 percent stake in that new entity, with Kering holding 40 percent.<\/p>\n
\n\tAnother key move was the sale of the Kering Beaut\u00e9 division to French beauty giant L\u2019Or\u00e9al for 4 billion euros, a deal that received the approval from competition authorities this week, as reported.<\/p>\n
\n\tThe finalized agreement confirms the acquisition of the division, which includes the House of Creed, and the signing of beauty and fragrance licenses for the Kering brands.\u00a0<\/p>\n
\n\tIn addition to this, the deal gives L\u2019Or\u00e9al the rights to enter into a 50-year exclusive license for the creation, development and distribution of fragrance and beauty products for Gucci, commencing after the expiration of\u00a0Kering\u2019s current license with Coty for that business.<\/p>\n
\n\tTo be sure, the group ended 2025 with net debt of 8.04 billion euros, down from 10.5 billion euros the previous year. It achieved 925 million euros in cost savings last year, cutting group operating expenses by 9 percent.<\/p>\n
\n\tAlso, Kering and Mayhoola in September jointly revealed that the current ownership structure of the\u00a0Valentino\u00a0house will not change before 2028 at the earliest, amending the shareholders\u2019 agreement, inked at the time of\u00a0Kering\u2019s acquisition\u00a0of a 30 percent stake in\u00a0Valentino\u00a0in 2023 for 1.7 billion euros in cash as part of a broader strategic partnership with the Qatari investment fund.<\/p>\n
\n\tAs per that original deal, the French group had an option to buy 100 percent of Valentino\u2019s capital by 2028, while\u00a0Mayhoola\u00a0could become a shareholder in Kering,\u00a0with the final purchase price linked to the Italian fashion brand\u2019s performance.<\/p>\n
\n\tFollowing the new agreement, Mayhoola\u2019s put options on Kering exercisable in 2026 and 2027 for its remaining 70 percent stake in Valentino are now postponed to 2028 and 2029, respectively. Kering\u2019s call option to acquire Mayhoola\u2019s stake in 2028 is also deferred to 2029.<\/p>\n
#Kering #Signs #Billion #Euro #Real #Estate #Deal<\/p>\n","protected":false},"excerpt":{"rendered":"
MILAN \u2014 Kering has secured another deal as part of its real estate strategy, allowing the French group to raise additional cash and reduce its debt. On Wednesday, Kering revealed… <\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[242],"tags":[],"class_list":["post-788","post","type-post","status-publish","format-standard","hentry","category-editors-pick"],"_links":{"self":[{"href":"https:\/\/stock789.top\/index.php?rest_route=\/wp\/v2\/posts\/788","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stock789.top\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stock789.top\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stock789.top\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stock789.top\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=788"}],"version-history":[{"count":0,"href":"https:\/\/stock789.top\/index.php?rest_route=\/wp\/v2\/posts\/788\/revisions"}],"wp:attachment":[{"href":"https:\/\/stock789.top\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=788"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stock789.top\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=788"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stock789.top\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=788"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}