Zurich: Luxury goods group Richemont has taken a major step in its succession planning after its chairman, Johann Rupert, appointed his 39-year-old son, Anton Rupert, as non-executive co-deputy chairman. Anton Rupert, who has served on Richemont's board since 2017, will oversee the group's creative and commercial strategy in his new role. He will share the position with Bram Schot, 65, who will remain responsible for corporate governance.
According to Ghana Web, the appointment gives investors a clearer indication of how leadership at the Swiss luxury group could evolve after Johann Rupert, 76, has controlled the company for decades. Richemont owns some of the world's leading luxury brands, including Cartier and Van Cleef and Arpels. The Rupert family controls the company through a family trust, holding about 10% of its equity but more than half of its voting rights.
Johann Rupert said Anton's appointment was an important step in Richemont's long-term succession plans, adding that the company's strength had been supported by continued family involvement. The leadership change comes at a challenging time for the global luxury industry, with weaker demand in China affecting luxury sales as the country's economy slows.
However, Richemont has performed better than some of its competitors, supported by strong demand for its jewellery brands and changes to its portfolio. The company recently sold Swiss watchmaker Baume and Mercier to Italy's Damiani Group as part of efforts to focus on its stronger brands. Richemont has also expanded its leather goods production facility in Scandicci, Italy, following an investment of more than 10 million pounds to increase manufacturing capacity.
Following the announcement, Richemont shares fell by as much as 1.7% in early trading in Zurich, although the stock remained about 24% higher than it was a year earlier.