Renault chief govt Luca de Meo is leaving the French carmaker to pursue “new challenges”, the corporate stated on Sunday, and newspaper Le Figaro reported he would turn out to be the brand new CEO of Gucci-owner Kering.
De Meo, an Italian recognized for his power, led the French carmaker for 5 years, overseeing a strategic shift in the direction of electrical automobiles and an overhaul of the agency’s two-decade lengthy strategic alliance with Nissan.
“Luca de Meo has expressed his determination to step down to be able to tackle new challenges exterior the automotive sector,” the corporate stated.
De Meo will go away Renault in mid July, Renault stated. The French states holds a 15 p.c stake within the firm.
Kering declined to touch upon the Le Figaro report.
If confirmed, de Meo’s transfer to Kering, which recently did not persuade stock-market buyers of its plans to show round its former money cow label Gucci, would mark a dramatic change on the group based and managed by the billionaire Pinault household.
Hypothesis concerning the group’s future management accelerated final week after French media reported Pinault was set to surrender the CEO position.
An individual acquainted with the pondering of Kering chairman and CEO Francois-Henri Pinault instructed Reuters on Friday that he was actively engaged on his succession, which incorporates splitting up the 2 roles to rent a brand new chief govt.
Kering, which additionally owns labels Yves Saint-Laurent and Balenciaga, unexpectedly cancelled an occasion with analysts deliberate for Monday, with out saying why, an individual acquainted with the matter stated.
Kering shares have misplaced over 60 p.c of their worth within the final two years, marked by a string of revenue warnings and designer modifications at Gucci, its most essential model by gross sales and earnings.
In an announcement issued minutes after the French media report about de Meo’s deliberate strikes, Renault confirmed de Meo’s departure, efficient July 15.
Pinault took over the management of the group, based by his father Francois Pinault, in 2005.
Below his management, the group grew to become a pure luxurious participant and loved years of spectacular development at Kering due to Gucci and the “ugly-chic” designs of its former artistic director Alessandro Michele.
However as customers grew uninterested in Michele’s fur-lined loafers after the pandemic, Kering struggled to reinvigorate the model and took on over 10 billion euros in debt which right now exposes it to the danger of one other credit score downgrade, Reuters reported final month.
By Tassilo Hummel; Editors: Peter Graff and Chizu Nomiyama
Study extra:
Kering’s Woes Deepen as Gucci Gross sales Tumble 25%
Group revenues fell 14 p.c within the first quarter as Saint Laurent and Balenciaga additionally suffered from the downturn in luxurious demand.
