Ray‑Ban scion wins family nod for $12 billion scheme to boost EssilorLuxottica control, source says
EssilorLuxottica Ownership Reshuffle and Family Dynamics
By Elisa Anzolin and Elvira Pollina
Heirs Back $12 Billion Deal
MILAN, April 27 (Reuters) - The late Ray-Ban billionaire Leonardo Del Vecchio's heirs backed a deal on Monday to hand one of his children greater sway over the world's largest eyewear group EssilorLuxottica, a source close to the matter said.
The family holding company Delfin owns a controlling 32.4% stake in the $100 billion Franco-Italian giant. The ownership reshuffle could also have broader implications for other, non-core investments, including Italian insurer Generali and banks Monte dei Paschi di Siena and UniCredit.
Details of the Buyout Proposal
Under the proposal, which the source said Delfin shareholders voted on at a meeting on Monday, Leonardo Maria Del Vecchio is set to buy out siblings Paola and Luca through an investment vehicle, having lined up roughly 10 billion euros ($12 billion) in bank financing for the move.
Leonardo Del Vecchio - the founder of the family empire, who died in 2022 - divided Delfin equally among his six children, as well as his widow and her son from another marriage. Each owns 12.5% of Delfin.
The company has been locked in a governance stalemate since Leonardo Del Vecchio's death, and a buyout that hands his 30-year-old son a 37.5% stake could streamline future decisions at the Luxembourg-based vehicle.
Il Sole 24 Ore daily reported that six out of eight heirs voted in favour of the move. It was not immediately clear if the vote is sufficient to finalise the plan, given the role played by lenders.
Stake Shake-Up and Governance Implications
Breaking the Delfin Gridlock
STAKE SHAKE-UP COULD BREAK DELFIN GRIDLOCK
Leonardo Maria Del Vecchio is the only one among the heirs holding a senior management position at EssilorLuxottica where he is president of the Ray-Ban brand.
EssilorLuxottica CEO Francesco Milleri, Del Vecchio's former right-hand man, chairs the Delfin board, which has been gridlocked since the Luxottica founder's death.
Governance Rules and Dividend Policies
The rigid rules put in place to split Delfin among his heirs require a very strong majority or near‑unanimous approval for key decisions.
Those rules have capped dividends at 10% of profits and prevented changes to the board, giving Milleri power to deploy cash flows from EssilorLuxottica to expand Delfin's investments in the financial sector.
Delfin's Role in Italian Banking
In the past two years, Delfin has emerged as a key actor in the consolidation wave reshaping Italian banking.
Shareholder Consensus and Special Dividend Potential
The lack of consensus has blocked shareholders from playing a more active strategic role or unlocking Delfin's large reserves, 7 billion euros of which Leonardo Maria Del Vecchio told the Financial Times newspaper last month could be used to pay a special dividend.
Future Dividend Distribution Plans
On Monday, seven out of the eight heirs voted to approve a second proposal under discussion: distributing as dividends 80% of Delfin's profits over the 2025 to 2027 period, Il Sole 24 Ore reported.
($1 = 0.8511 euros)
(Writing by Valentina Za; Editing by Gianluca Semeraro, Gavin Jones and Joe Bavier)
