Louis Vuitton has announced its intention to acquire the shares of Dior at €12.1 billion

The CEO of Louis Vuitton Moet Hennessy (LVMH), the French billionaire Bernard Arnault has announced its intention to acquire the shares of Christian Dior. This is stated in the official statement.

Family Arnault already controls 74.1% of the shares of the fashion house and intends to buy the remaining 25.9 per cent. The Union of two powerful brands “under one roof” should simplify the ownership structure for its owner, said in a statement LVMH.

LVMH is ready to redeem at minority shareholders of Christian Dior 25,9% of the shares at a price of €260 per share, it said in a statement. Thus, the amount of the transaction will amount to approximately €12.1 billion ($13.2 billion), estimated Bloomberg.

At a price of €260 per share premium minority shareholders will amount to 14.7% of the stock price at the close of trading on April 24, said in a statement. The indicated price is 18.6% higher than the average cost of the shares of the fashion house on the exchange.

Amid reports about the intention Arnault to buy out the remaining shares Christian Dior LVMH shares rose 3.4% upon the commencement of trading on the Paris stock exchange, shares Dior by 13%, says Bloomberg.

According to Forbes magazine, Bernard Arnault owns a fortune of $50.8 billion to Him belongs the control of more than 70 brands including Dom Perignon, Bulgari, Louis Vuitton, Sephora and Tag Heuer, as well as about 3,900 retail stores LVMH. The bulk of his fortune tied to the Christian Dior stock, through which Arnault owns a controlling stake in LVMH, says Forbes.

The LVMH group, which is headed by Arnault in 1989, closed the 2016 financial year with record sales of $40 billion.

Previously LVMH bought 100% of the network of shops of perfumery and cosmetics “Ile de Beaute”. LVMH owns “Ile de Beaute” controlled by the Cyprus company Galonta Holdings Ltd, which also owns Sephora SAS.