BERLIN (AP) — French luxury group LVMH is buying a majority stake in German luggage maker Rimowa for 640 million euros ($719 million).
LVMH said Tuesday that Dieter Morszeck, the grandson of Rimowa's founder, will sell an 80 percent stake in the Cologne-based company that is known for its high-end aluminum and polycarbonate suitcases.
It said that Morszeck will continue to hold a stake in the business and keep his "leadership functions." However, Alexandre Arnault, the son of LVMH CEO Bernard Arnault, will become Rimowa's co-CEO alongside Morszeck.
LVMH owns brands such as Christian Dior, Kenzo and Sephora.
It says the Rimowa deal, which requires anti-trust authorities' approval, should be completed in January.