Lanvin CFO Exit Signals Shakeup During Restructuring Phase

Lanvin Group renews its top management in its low hours. The luxury group has announced the departure of its executive chairman and chief financial officer, David Chan, who will leave his duties as of October 27th to seek new professional challenges, after eight years with the company.

According to a statement released by the group, during his time at the company, Chan “has been instrumental in strengthening the strategic and financial foundation,“ and has driven its transformation as a global company, listed on the New York Stock Exchange. The name of his replacement has not yet been announced.

The group’s chairman, Zhen Huang, thanked the executive for his “dedication and leadership” and said that his role has served to “define the strategic direction” of the group. He also defended that Lanvin remains “well positioned to continue driving growth and generating long-term value”.

For his part, Chan, who will not finish the month at the company, said he was “proud to have contributed to building a solid strategic and financial foundation” and to have set the company on the path to “sustainable growth”.

Lanvin is in the midst of a restructuring process, dragged down by the global luxury crisis

Lanvin Group says it has a structured transition plan to “ensure the continuity of financial and operational functions”. It has also indicated that Chan will be able to continue to advise the company and that the name of the successor will be known soon.

Lanvin, based in Shanghai and Milan, manages the Lanvin, Wolford, Sergio Rossi, St. John Knits and Caruso brands. In the first half of the year, the company recorded sales of €133.4 million, down 22% compared to the same period of the previous year, in a context of global weakness in luxury and strategic repositioning.

According to the latest information published, Lanvin Group began a restructuring process this year, involving the sale of some of its assets and the reorganization of its portfolio of luxury brands. The holding company, owned by the Chinese conglomerate Fosun, would have chosen to reduce its brand perimeter in order to refocus resources, contain costs and strengthen its liquidity.

For the time being, no buyer has made a firm offer to refresh the accounts of the Asian company controlled by billionaire Guo Guangchang. In this context, the conglomerate decided to dispose of factories and real estate in order to quickly acquire some liquidity.