New investments for LVMH in its sourcing chain in Italy. The French giant continues to shop: LVMH Métiers d’Art, in fact, acquired a majority share of tanning laboratory Ally Projects (better known with the name Heng Long Italia) and a minority share of Robans, specialized in leather apparel. Both companies are located in Tuscany. “Our goal is to support the market’s main manufacturers and the strategic parts of the group’s supply chain”, says Matteo De Rosa, CEO of LVMH Métiers d’Art, as he announces additional investments.
LVMH continues shopping up the chain
The first operation
LVMH is strengthening its supply chain for leather with two main operations made by LVMH Métiers d’Art, holding company created in 2015. Today, the entity owns a dozen companies operating in the leather and fashion chain that generate about 500 million euro in revenue each year. The first operation was the acquisition of Ally Projects, tanning laboratory in Santa Croce sull’Arno (on the right, in photo from Facebook), active since 2013 “to supply Italian fashion brands exotic leather, starting with crocodile”.
WWD points out how this entity is the European outpost of Singapore-based Heng Long. This is the tanneries for which, in 2011, LVMH spent 161 million USD (to acquire 51% of it), leaving 49% to the founding family. With the support of LVMH Métiers d’Art, Heng Long Italia will develop its production capacity, given that demand for exotic leather keeps on growing. “Italy will then become central in order to respond more rapidly to our brands’ demands for sophisticated productions”, explained De Rosa to Fashion Network.
The second operation
The second operation is tied to Robans (already Roban’s Produzione). Founded in 1989 by Andrea Palmieri, it’s specialized in the production of leather and suede leather collections for luxury brands. It works with all types of leather: lamb, calf, exotic, mutton, fur (on the left a photo from the company’s website). And, “it recently acquired know-how on textiles and technical materials as well”. “This is our first investment in the apparel segment. Our goal is to support the market’s main producers and the group’s strategic chain”, concludes De Rosa, as he announces additional investments to safeguard the production chain, under stress from the pandemic, war, energy crisis and more.