Armani is preparing to enter formal negotiations with three potential investors identified in the late Giorgio Armani's will, as the Italian luxury group works to establish a new strategy following the designer’s death last year.

In the coming weeks, Armani is set to hold discussions with LVMH, L’Oréal, and EssilorLuxottica regarding a possible sale of a minority stake in the company. These talks come nearly a year after Armani, who died in September at age 91, directed his heirs to sell an initial 15 percent stake within 18 months of his passing. The move marked a significant shift for the family-owned business, which Giorgio Armani had tightly controlled for five decades.

Sources familiar with the situation have indicated that the 15 percent stake could be split among the three suitors. However, insiders suggest that none of the investors are currently inclined to make a substantial, immediate investment. “No one wants to jump on it but no one wants to let it pass,” one source said, reflecting a cautious yet interested stance from the potential buyers.

Following Armani’s death, Giuseppe Marsocci, a long-serving executive, was promoted to chief executive and has been leading efforts to reshape the group’s strategy with guidance from Boston Consulting Group. The focus is to refine brand positioning and target growth in higher-margin categories, such as accessories. The group’s portfolio includes the Giorgio Armani and Emporio Armani brands, the haute couture Armani Privé line, and ventures into hotels, restaurants, and home furnishings.

The company’s family-led board has undergone changes, welcoming outsiders like former Gucci chief Marco Bizzarri and Yoox founder Federico Marchetti. Company veteran Leo Dell’Orco has been appointed chair. These adjustments aim to help transition Armani from a founder-driven enterprise to a sustainable institution.

On the creative side, Dario Vitale—known for his work with Miu Miu—was recently brought in to revitalize the Emporio Armani brand, which accounts for roughly one-third of the group's €2.2 billion annual revenue. Vitale’s mandate is to inject a younger and clearer identity into Emporio while maintaining its core Armani heritage, alongside expanding the accessories segment, which Marsocci described as “a great opportunity.”

The internal restructuring delayed initial stake sale discussions, which were expected to begin in June but are now anticipated by late September or early October. The talks occur amid a challenging luxury market: Armani’s 2025 revenues fell 2.8 percent to €2.19 billion following a 5 percent decline in 2024. Yet, earnings before interest, tax, depreciation, and amortization increased 3.2 percent to €153 million, boosted by cost-saving measures and a strong performance from Armani Privé.

Among the preferred investors, EssilorLuxottica, which holds a licensing agreement with Armani until 2038, is unlikely to pursue a large equity purchase. The eyewear group is reportedly concentrating on expanding in medical technology and the U.S. market and would consider investment principally to support the Armani family. L’Oréal, which manages Armani’s beauty licensing deal running through 2050, has historically invested in fashion brands like Jacquemus but does not operate them directly. Its priority remains safeguarding its licensing interests.

LVMH has expressed interest in participating in the minority stake sale. However, the fit is not straightforward, given Armani’s pricing and product mix, which are weighted more toward fashion categories at lower price points than LVMH’s typical luxury brands. Still, longstanding personal relationships between the Arnault family and Giorgio Armani remain a significant factor.

Valuation negotiations could prove complex, with insiders suggesting Armani’s worth could be around €10 billion, while potential investors propose a range between €3 billion and €7 billion. If no acceptable offers emerge, the Armani family may consider a public listing as an alternative.

Industry observers note that the underlying challenge is not simply the sale of a stake but demonstrating that Armani can sustain growth and innovation without its founder’s direct involvement. “The challenge is not selling Armani,” one insider reflected. “It is showing that Armani can grow without Giorgio Armani.”