Hermes Demanded Judicial Investigation Into Louis Weedon'S Stock Taking Operation

Familial management

LVHM group has been rejected through shareholding penetration.

In his communique, Hermes confirmed that he filed a lawsuit against the Paris Procuratorate on 10 July this year.

A judicial investigation was launched to increase the operation of Hermes shares.

Louis Weedon also said in a statement the same day that the operation of the group was in line with the norms of the operation of Hermes, and the group also filed countercharges, accusing Hermes of "extortion, false accusation and unfair competition".

According to French media, local weekly quoted the person in charge of the judiciary as saying that Hermes believed that Louis Weedon had "insider dealing", "internal collusion" and "manipulation of stock prices" in the operation of the increase of Hermes shares, and the Paris procuratorate was "Studying" the appeal of Hermes.

In October 23, 2010, Louis Weedon unexpectedly announced that he had purchased 17.1% of Hermes shares and increased his holdings of Hermes to 22.28% by the end of December last year, becoming the largest single shareholder outside the Hermes family heirs.

Louis Weedon said that he will focus on "long-term strategic investment", according to the actual situation and

It changes its holdings of Hermes, but does not seek to control the brand, nor will it initiate a public offer.

However, Hermes did not want Louis Weedon to join the group. He also believed that Louis Weedon had not issued a notice in accordance with the relevant provisions that the increase of shares would exceed the right to vote, and asked the French financial market regulator to conduct an investigation of its shareholding operations.

The Hermes family inherited 73.4% of the group's holdings, but the single heir held no more than 5%.

In December of last year, the Hermes family successor announced the establishment of a holding company to centrally hold about 50.2% of their shares and freeze it for 20 years, while giving priority to another 12.3% of the shares.

The move is aimed at countering possible further acquisitions by Louis Weedon.

Louis Weedon is the world's largest luxury group and owns more than 50 internationally renowned luxury brands.

Hermes is a luxury goods manufacturer famous for its leather goods and scarves.

The 20% of Hermes shares began to be publicly listed in 1993, and the remaining shares were held by family heirs and a handful of top executives.

In accordance with the provisions of the French financial market paction, a shareholder should notify the shareholding enterprises and financial market regulators when they increase their holdings over 5%, 10%, 15%, 20%, 25%, 33.33%, 50%, 66.66%, 90% and 95%.