Finance
Kering to focus on debt reduction, reviving Gucci, CEO says
Published by Global Banking & Finance Review®
Posted on October 21, 2025
2 min readLast updated: January 21, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on October 21, 2025
2 min readLast updated: January 21, 2026
Kering focuses on debt reduction and revitalizing Gucci after selling its beauty business to L'Oreal, exploring wellness opportunities.
MILAN (Reuters) -French luxury group Kering plans to continue reducing its debt following the sale of its beauty business, while focusing on revitalising its core fashion brands, Chief Executive Officer Luca de Meo said on Tuesday.
Kering agreed on Monday to sell its beauty business to L'Oreal for 4 billion euros.
De Meo, who took charge of Kering in September, said that debt reduction is a priority for management, as is revitalising the brands, particularly Gucci.
"I envision a group where, of course, we develop the fashion segment, which is our core business, but ultimately we also manage to ... make it less dependent on the fashion cycle", de Meo said at MF Fashion Summit in Milan.
This could be achieved by investing in categories that are structurally less cyclical, de Meo said, citing as an example the venture with L'Oreal to explore business opportunities in the field of wellness.
"It's a segment growing at twice the pace of the luxury market overall, and it seems very consistent — in terms of clientele — with the one we usually target. This (the wellness) is one example, but there will be others," he said.
(Reporting by Elisa AnzolinEditing by Keith Weir)
Debt reduction is the process of decreasing the total amount of debt owed by an individual or organization, often through strategies such as selling assets or restructuring loans.
Brand revitalization refers to the strategies and actions taken to rejuvenate a brand's image and market presence, often to attract new customers and retain existing ones.
Corporate strategies are comprehensive plans that outline how a company will achieve its goals and objectives, including decisions on resource allocation, market positioning, and growth initiatives.
A core brand is the primary brand that represents a company's main products or services, serving as the foundation for its identity and market strategy.
Investment opportunities are chances for individuals or organizations to invest their resources in various assets or ventures with the expectation of generating a return on investment.
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