In the late 1980s, the world of luxury goods was bustling with individual brands, each excelling in its own niche but lacking a unified force. Enter Bernard Arnault, a visionary in the business world. In 1987, at the age of 38, Arnault orchestrated a monumental shift in the industry.

Arnault, known for his keen business acumen, masterminded the creation of LVMH through strategic acquisitions and mergers. This pivotal move united Louis Vuitton, renowned for its opulent luggage and iconic monogram canvas, with Moët Hennessy, a conglomerate encompassing prestigious brands like Moët & Chandon, Hennessy, and others.

Louis Vuitton, founded in 1854 by the trunk-maker Louis Vuitton himself, had already established itself as a symbol of luxury travel accessories. The brand's monogram canvas, introduced in the late 19th century, became synonymous with elegance, adorning classic trunks, handbags, and accessories and solidifying Louis Vuitton’s position in luxury fashion.

Meanwhile, Moët Hennessy emerged from the merger of two illustrious brands—Moët & Chandon, a prestigious champagne house established in 1743, and Hennessy, a distinguished cognac producer founded in 1765. These brands held centuries-old legacies, setting the benchmark for craftsmanship and quality in the champagne and cognac industries.

The amalgamation of Louis Vuitton and Moët Hennessy in 1987 was more than a combination of luxury fashion and spirits; it expanded into wines, spirits, perfumes, cosmetics, and more, laying the foundation for LVMH’s diverse portfolio.

Affordable luxury - these are two words that don't go together. — Bernard Arnault

Arnault’s strategic vision fueled LVMH's growth through acquisitions. Notably, the acquisition of iconic brands such as Christian Dior, Givenchy, Fendi, Celine, and Kenzo among others, further solidified LVMH’s position as a leader in the luxury goods sector.

The financial details of these acquisitions varied based on brand prestige, market value, and negotiation terms. Christian Dior, acquired by LVMH in the late 1980s, had an estimated purchase price of approximately $3.9 billion USD in 2017, allowing LVMH to take full control of the fashion house.

Givenchy, renowned for its elegant designs, became part of LVMH in the late '80s for an estimated acquisition cost of around $45 million USD.

Fendi, an Italian luxury fashion house celebrated for its fur and leather goods, joined LVMH's portfolio in 2001 with the conglomerate acquiring a majority stake for approximately $850 million USD.

Celine, another significant addition, became part of LVMH’s collection in the late 1990s for an estimated sum of around $540 million USD.

Kenzo, known for its vibrant and eclectic designs, joined LVMH in 1993 for an estimated amount of around $80 million USD.

Each of these acquisitions added distinctive value to LVMH's portfolio, contributing to the conglomerate's status as a global leader in luxury goods.

Throughout the ‘90s and 2000s, LVMH continued expanding its portfolio through strategic investments. John Galliano’s appointment as the creative director of Christian Dior in 1996 marked a turning point, breathing new life into the fashion house with his avant-garde designs.

In the early 2000s, LVMH ventured into the watch and jewelry sectors through acquisitions like Tag Heuer, Hublot, and Bulgari, broadening its horizons and strengthening its presence in high-end watchmaking and jewelry.

LVMH's commitment to nurturing creativity and innovation was evident through initiatives like the LVMH Prize for Young Fashion Designers, launched in 2014 to support emerging talents and foster innovation in the fashion industry.

In 2020, LVMH made headlines with its $16 billion USD acquisition of Tiffany & Co., one of the most iconic luxury jewelry brands globally. This high-profile acquisition further solidified LVMH’s position in the high-end jewelry market and emphasized its dedication to expanding its luxury portfolio.

Today, LVMH stands tall as a testament to Bernard Arnault’s strategic vision—a conglomerate curating an unparalleled collection of luxury brands, each with a distinct heritage, craftsmanship, and identity. From Louis Vuitton’s iconic monogram to Dior’s timeless elegance, LVMH continues to shape the course of luxury, embracing creativity, innovation, and excellence across its diverse portfolio of brands.