Burton Pereira sunglasses are on display at “A Good Time At Goodman’s” at Goodman’s Men’s Store in New York City.
Astrid Stawiarz | Getty Images
LVMH acquires Burton Pereira, the luxury eyewear brand famous for creating James Bond sunglasses, to tap into the burgeoning designer sunglasses market.
LVMH’s Terios Eyewear division has agreed to acquire Irvine, California-based Barton Pereira for an undisclosed sum. The deal is Serio’s second major acquisition in the past two months, following its acquisition of France’s Alpine brand Vuarnet in September.
Luxury eyewear, including sunglasses and optical eyewear, is growing rapidly around the world. Luxury brands see eyewear as a low-cost gateway to their brands for younger consumers, and now produce a wide range of stylish, high-quality frames. Analysts say that while sunglasses are becoming more popular in Asia, demand for optical frames is also increasing as people spend more time in front of computer and mobile phone screens.
According to EssilorLuxottica, global eyewear sales are expected to exceed $107 billion in 2022, with mid-single-digit growth rates in the coming years.
“For luxury houses, eyewear is often the first point of contact with the consumer,” said Terios CEO Alessandro Zanardo. “There is also a shift in the relevance of this category across the Maison. Products are not just made in a factory, put on a logo and sold; they are actually created and sold.” It’s designed in a Maison environment. The quality has really increased, so customers are developing a sense of what luxury eyewear is.”
The deal with Burton Pereira highlights the growing importance of eyewear to LVMH and the luxury goods industry. LVMH launched Terios in 2017 to manufacture eyewear for LVMH’s own brands, including Louis Vuitton, Celine, Loewe and Berluti. Zanardo said that as Thelios develops its own design, manufacturing and distribution expertise, it has decided to acquire external brands, including Vuarnet, that it can further develop.
Burton Pereira is a cult favorite among Hollywood stars and collectors of luxury sunglasses and frames. Its models typically retail for $500 or $600, and limited edition designs produced in small quantities are especially sought after. Daniel Craig wore Burton Pereira ‘Joe’ sunglasses in No Time to Die, and Demi Lovato, Sandra Bullock and Ryan Gosling are also reportedly fans.
Zanardo said Barton Pereira is a perfect fit for LVMH because of its commitment to quality.
“Burton Pereira has very strong founding principles of uncompromising design and quality,” he said.
Since Burton Periera only has a few stores in the United States, LVMH could use its global presence to take the brand overseas and improve distribution in Europe and Asia, Zanardo said.
Burton Pereira was founded in 2007 by Bill Burton and Patti Pereira after leaving Oliver Peoples, which was acquired by Oakley. Zanardo said the two founders will remain with the company after the acquisition and “work to ensure that the DNA of the brand remains.”
The LVMH acquisition shows the company is seeking acquisition targets that fit its long-term ambitions, despite a global slowdown in its luxury goods business. LVMH’s stock price has fallen 20% over the past six months, particularly due to slowing growth in the U.S. wine and spirits market. LVMH executives often say economic downturns are an opportunity to gain market share and make acquisitions as competitors cut spending and valuations become more attractive.
Serios said for now it is focused on integrating Vuarne, Barton Pereira and recently acquired Italian manufacturing facilities rather than pursuing further transactions.
“This year has been a very intense year for us,” Zanardo said. “I think now is the time to focus on what we have added to the organization and begin our journey together.”
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