Is LVMH Poised to Sell Marc Jacobs?

For $1 billion USD, Authentic Brands, Bluestar Alliance, or WHP Global may become the brand's subsequent parent company.

Image: Bloomberg

According to reports from the Wall Street Journal, luxury conglomerate LVMH is contemplating divesting its ownership in Marc Jacobs, which it acquired after the designer's appointment to Louis Vuitton in 1997. After nearly thirty years, the American designer's brand may be purchased by another entity for approximately $1 billion USD.

Sources familiar with the situation indicate that LVMH has engaged in discussions over a prospective agreement with Authentic Brands, the proprietor of Reebok, WHP Global, the owner of Vera Wang, and Bluestar Alliance, which has just purchased Palm Angels and Off-White. According to sources from the Wall Street Journal, the transaction may be finalized imminently.

LVMH faces challenges amid the "luxury slowdown," a pervasive market decline that commenced in early 2024, leading to diminishing sales throughout the sector. The conglomerate, which includes Louis Vuitton, Dior, Loewe, Fendi, and others, reported a 9% decline in revenues from its Fashion and Leather products division, its primary revenue source.

Cécile Cabanis, Chief Financial Officer of LVMH, stated during last week's earnings conference call, "We will discontinue brands if we determine they are not a suitable addition or if we are not the appropriate operator for them."

Should the transaction be finalized, Marc Jacobs will join the list of modern brands that have been eliminated from LVMH's portfolio in the past year. In September 2025, Virgil Abloh's label Off-White, established in 2012, was acquired by Bluestar Alliance. In January, the group divested its interest in Stella McCartney’s brand, established in 2001.

Should Marc Jacobs acquire new ownership, what implications may this have on the brand's prestige? The brand has significantly profited from its affiliations with premier luxury fashion houses such as Louis Vuitton. A transaction with any of the aforementioned businesses would undoubtedly diminish LVMH's formidable standing in the luxury industry.