LVMH Acquires Les Echos From Pearson Group

French luxury consumables company LVMH has today acquired French commercial newspaper Les Echos from media giants Pearson in a transaction thought to be worth in excess of £167 million after ongoing negotiations over the course of the last four months.

The company behind luxury fashion brand Louis Vuitton, Moet & Chandon and Christian Dior today announced it had acquired the profitable newspaper from the Pearson media group, which boasts significant holdings across niche publishing sectors across Europe, the UK and North America.

Les Echos is currently the most widely circulated business paper in France, with a weekly circulation of just under 120,000 units. With annual gross revenue in excess of 126 million euros making it a worthwhile investment for the group synonymous with top end global luxury brands.

However the move has not been welcomed by staff at Les Echos, with the potential for industrial action over the coming week in order to attempt to block the deal citing LVMH’s associated current publications as potentially jeopardising the independence of the newspaper.

The move marks a shift towards ongoing diversification at the LVMH group, which has seen it increase its holdings portfolio significantly over the last few years. The company already holds several high profile French publications, particularly within the business sector, which some have feared may have an impact on the publication as present following the acquisition.

Similarly it marks a distinct change in focus at Pearson, after record performance over recent quarters has lead to the decision to sell at the company that owns the Financial Times, the Economist and Penguin publishers.

It remains to be seen whether the disruption at Les Echos will help guarantee the independence of editorial control, as is currently demanded by the editing team at Les Echos.

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