LVMH Group To Venture Into Hotel BusinessJuly 29, 2010
In 2012 LVMH is opening two “5 plus stars” hotels in the Middle-East through his new branch “LVMH Hotel Management”.
The conglomerate is no stranger to the business because in 2006 it launched “Cheval Blanc” (FYI White Horse), a five stars hotel located in one of the most luxurious ski resort in the French Alps. To add even more cachet to the hotel, the restaurant was awarded two stars from influential gastronomy critique le Guide Michelin.
For the record “Cheval Blanc” is a prestigious red wine from Bordeaux, Saint-Emilion Premier Grand Cru which was owned by one of Bernard Arnault’s holding, the Arnault Group, who also happens to be CEO of LVMH. Last year, LVMH bought 50% of Chateau Cheval Blanc from the Arnault Group (so basically M. Arnault bought the winery from himself).
For now the two “Cheval Blanc” hotels are under construction in Egypt and Oman. The Egyptian hotel will consist of 40 suites and the Oman project located on a desert island in the Indian Ocean, will have 32 villas.
Each hotel will carry brands from LVMH, from Louis Vuitton to Dior and even a Givenchy Spa. Because as the French Group stated, to enter the Hotel business is a way to maximize the value of its brands.
LVMH brands include Louis Vuitton, Fendi, Loewe, Céline, Kenzo, Givenchy, Guerlain, Moet& Chandon, Dom Pérignon, Hennessy, Hublot, Chaumet, de Beers, Tag Heuer