French court order slashes LVMH’s stake in Hermes from 23 to 8 percent

World’s largest luxry group LVMH will relinquish its $7.5 billion holding in Hermes International SCA after a French court intervened to end a four-year battle over LVMH building a stake in Hermes.

LVMH, owned by France’s richest man Bernard Arnault, will distribute the stake to its shareholders and institutional investors, leaving Arnault’s family holding company Groupe Arnault with an 8.5 percent interest. LVMH has gradually amassed a 23,1 percent stake in Hermes over the past four years.

Hermes flagship store, Rodeo Drive, Beverly Hills