Reposted by Yawen Chen
This week LVMH shareholders will decide whether to raise the retirement age for its chairman and CEO to 85, potentially giving Bernard Arnault another decade in charge. @ywchen.bsky.social argues the lack of a clear succession plan is a red flag for investors.
www.reuters.com/breakingview...
reuters.com
Breakingviews - LVMH’s opaque succession merits investor discount
Bernard Arnault has no succession plan, and no apparent intention of unveiling one soon. Indeed, the 76-year-old chairman and CEO of LVMH could spend another decade at the helm of the $300 billion French luxury giant. Shareholders will this week vote on whether to raise the age limit for both roles to 85. While Arnault’s age is not necessarily a problem for investors, the lack of clarity about who takes over is beginning to weigh on the group’s enviable stock market record.