0
0
French-Italian eyewear giant EssilorLuxottica has strategically agreed to buy streetwear label Supreme from VF Corp. for US$1.5 billion in cash. This significant move adds the coveted brand to its portfolio, which already boasts Ray-Ban and Oakley. The companies revealed the deal on Wednesday. It also marks the first acquisition of an apparel company for the French-Italian eyewear maker, signalling a shift in its business strategy.
Supreme: The OG Streetwear Brand
Founded in New York City in 1994 by James Jebbia as a skateboarding and streetwear brand, Supreme is a unique brand known for its iconic red and white logo. The streetwear brand quickly gained a dedicated following for its limited edition drops and collaborations with artists and designers, setting it apart in the fashion industry.
Over the years, Supreme has expanded its reach globally, opening flagship stores in cities like London, Tokyo, and Paris. The brand’s collaborations with high-profile artists and brands, as well as its ability to create hype around its releases, have cemented Supreme’s status as one of the most influential streetwear brands in the world.
EssilorLuxottica’s Bold Move
EssilorLuxottica is an Italian-French vertically integrated multinational corporation based in Paris. It was founded in 2018 from the merger of the Italian Luxottica with the French Essilor. The eyewear-focused group designs, produces and markets ophthalmic lenses, optical equipment, prescription glasses and sunglasses.
For the Franco-Italian group, which has primarily focused on eyecare and glasses, this is a truly unexpected and intriguing move, sparking interest and speculation in the industry.
“We see an incredible opportunity in bringing an iconic brand like Supreme into our company,” EssilorLuxottica Executives Francesco Milleri and Paul du Saillant said in a statement. “It perfectly aligns with our innovation and development journey, offering us a direct connection to new audiences, languages and creativity.”
It’s also reported that EssilorLuxottica plans to maintain Supreme’s business model, which exclusively sells its products directly to consumers.
VF President and CEO Bracken Darrell mentioned that there were “limited synergies” between the brand and VF, making the sale “a natural next step.” VF’s portfolio includes outdoor gear companies like The North Face and Napapijri, as well as the footwear brand Vans.
