Luxottica

Leonardo Del Vecchio started the company in 1961,[13] in Agordo north of Belluno, Veneto; today the company is headquartered in Milan, Italy.[5]

Del Vecchio began his career as the apprentice to a tool and diemaker in Milan, but decided to turn his metalworking skills to making spectacle parts. So in 1961, he moved to Agordo in the province of Belluno, which is home to most of the Italian eyewear industry.[14] The new company was Luxottica s.a.s., a limited partnership with Del Vecchio as one of the founding partners.[14] In 1967, he started selling complete eyeglass frames under the Luxottica brand, which proved successful enough that by 1971 he ended the contract manufacturing business.[15]

Convinced of the need for vertical integration, in 1974, he acquired Scarrone, a distribution company.[14] In 1981, the company set up its first international subsidiary, in Germany, the first in a rapid period of international expansion.[14] The first of many licensing deals with a designer was struck with Armani, in 1988.[16]

The company listed in New York in 1990,[17] and in Milan in December 2000,[18] joining the MIB-30 (now FTSE MIB) index in September 2003.[19] The listing raised money for the company and allowed it to use its shares to acquire other brands, starting with Italian brand Vogue Eyewear in 1990, Persol and the United States Shoe Corporation (LensCrafters) in 1995, Ray-Ban in 1999 and Sunglass Hut, Inc. in 2001.[14] Luxottica later increased its presence in the retail sector by acquiring Sydney-based OPSM in 2003, Pearle Vision and Cole National in 2004.[20] Luxottica acquired Oakley in November 2007 for US$2.1 billion. Oakley had tried to dispute their prices because of Luxottica's large marketshare, and Luxottica responded by dropping Oakley from their stores, causing their stock price to drop, followed by Luxottica's hostile take over of the company.[21] In August 2011, Luxottica acquired Erroca for €20 million.[22] In March 2014, it was announced that Luxottica would partner with Google on the development of Google Glass and its integration into Luxottica's eyewear.[23]

Essilor bought Daytona Beach, FL, based Costa, Inc. in 2013 and the popular brand of premium sunglasses was integrated into the Luxottica system in 2020. The approximately $270 million all-cash transaction was 2.8 times Costa’s revenues from continuing operations for the trailing 12 months – a very rich valuation that approaches what Oakley received when it was acquired by Luxottica during the height of the M&A market in 2007. Luxottica has shut down Costa's headquarters, warehousing and shipping operation in Daytona Beach. About 295 employees will be let go.[24] Costa sunglasses will be manufactured at Luxottica's plant in Foothill Ranch, California.

On 1 September 2014, a new organizational structure was announced, composed of two co-CEOs, one focusing on market development and the other overseeing corporate functions. After the exit of former CEO Andrea Guerra, Enrico Cavatorta was appointed CEO of Corporate Function and Interim CEO of Market (until new and permanent appointment to this role).[25][26][27] Cavatorta left the company 40 days after being appointed CEO. In 2016, it was reported that Luxottica had lost its third chief executive in a year and a half, as Adil Mehboob-Khan stepped down a year after he replaced Cavatorta.[28]

In January 2017, the company agreed to a merger with Essilor.[29] The deal also offered a succession plan for Leonardo Del Vecchio, the company's founder.[30] Shortly before the merger completed, reporter Sam Knight wrote in The Guardian, "in seven centuries of spectacles, there has never been anything like it. The new entity will be worth around $50bn (£37bn), sell close to a billion pairs of lenses and frames every year, and have a workforce of more than 140,000 people."[31] On 1 October 2018 the new holding company EssilorLuxottica was founded, resulting in combined market capitalization of approximately €57 billion.

In August 2018, Luxottica restored Accademia Bridge in Venice.[32]

Persol sunglasses

Ray-Ban sunglasses

Luxottica's two main product offerings are sunglasses and prescription frames. The company operates in two sectors: manufacturing & wholesale distribution, and retail distribution.[33]

The house brands include the following:[34][2]

The company also makes eyewear under license for the following designer labels:[34][2]

These brands are sold in the company's own shops, as well as to independent distributors such as department stores, duty-free shops, and opticians.[5]

Luxottica Retail has about 9,100 retail locations[2][37] in the United States, Latin America, Canada, India, China, Australia, New Zealand, South Africa, the United Kingdom, and United Arab Emirates.[20] The headquarters of the retail division is in Mason, Ohio, United States (North America).[20] Their retail banners include the following:[38]

Luxottica is the largest optical retailer in the United States, with 7.3% of US retail sales in 2015.[40] With its merger with Essilor in 2018 the company owns Coastal/Clearly, an online contacts and glasses retail giant bought in 2014 that ships to over 200 countries beside its original North American market.

Luxottica also owns EyeMed Vision Care, a managed vision care organization in the United States.[41] As of 2014, it is the second-largest vision benefits company in the United States.[42][43][44]

The list of Luxottica shareholders with more than 2% of holdings, represented by voting shares at 23 December 2014.[53]

• Delfin S.à r.l. 66.485%
• Deutsche Bank Trust Company Americas (as ADR depository) 7.466%
• Giorgio Armani 4.955%

In September 2012, Delfin S.à r.l. reduced its share of Luxottica from 66% to 62.1%,[54] but later increased its share to 66% again.

• Safilo

• Official website