French luxury conglomerate Kering is seeking to bolster its seven-year-old eyewear business with the acquisition of Danish eyewear brand LINDBERG.
The multi-national brand started out as an optical store in 1969 and was run by optician Paul-Jørn Lindberg and his wife. Lindberg’s son is credited with raising the brand’s business and global profile, with the brand’s wholesale external revenue reaching $712.3 million in 2019.
“This acquisition will further reinforce Kering Eyewear as the most relevant player in the luxury eyewear market segment, adding to its portfolio a complementary and proprietary brand with strong legitimacy, undisputed know-how and best-in-class customer service in optical frames,” Kering said in a statement.
While the deal’s financial terms were not disclosed, it is expected to close in the second quarter of 2021.
The acquisition is aimed at helping Kering cut itself a larger share of the luxury eyewear market, which is projected to reach $23 billion in market value by 2025. The company noted that LINDBERG’s business compliments that of Kering Eyewear and that it expects both companies to be able to “leverage on their respective strengths across the value chain, with synergies in distribution and geographical reach notably.” This, in turn, should help “accelerate the growth and enhance the profitability of Kering Eyewear.”
Kering’s acquisition of LINDBERG comes four years after its competitor LVMH acquired a 51 percent stake in Italian eyewear brand Marcolin. The majority stake in the eyewear company resulted in the creation of a design and manufacturing joint venture called Thelios, which has proven valuable to LVMH’s interests in the luxury eyewear space. Earlier this month, LVMH-owned brand Fendi announced a deal with Thelios. The two companies released a statement stating that the collaboration is an important step to improving the brand appeal of Fendi eyewear and making it a top brand in the space, The Fashion Law reported. Fendi joins several other LVMH brands, such as Dior, Stella McCartney, and Kenzo, who rely on Thelios for their eyewear products.