Armani opts for understated elegance amid Milan Fashion Week turbulence

KUALA LUMPUR, 29 SEPTEMBER 2026 —

Armani’s Legacy at Crossroads as Heirs Weigh LVMH, L’Oréal and EssilorLuxottica Talks Amid Slumping Sales and Succession Pressures

Giorgio Armani’s fashion empire, founded in 1975 and built on the back of his revolutionary tailoring and Hollywood dominance, now faces a moment as his heirs prepare to sell a 15% stake in the company—with luxury giants LVMH, L’Oréal and EssilorLuxottica in advanced discussions to become potential investors.

A year after the late designer’s death, the house’s financial struggles—marked by a second consecutive year of declining revenue in 2025—and the need to prove its long-term appeal to suitors have pushed creative director Silvana Armani to double down on her uncle’s legacy, even as external hires signal deeper change may be coming.

The stakes could not be higher. Armani’s will mandates the sale of a minority stake within 18 months of his passing, with an initial public offering (IPO) as a fallback if no private buyer emerges. With revenue dropping 2.8% to €2.19 billion in 2025, the brand’s ability to retain its status as a luxury powerhouse without its founder’s guiding hand is now under scrutiny.

The potential entry of LVMH, the world’s largest luxury conglomerate, or L’Oréal, the beauty behemoth, would mark a seismic shift for a house that has long prided itself on independence. EssilorLuxottica, already a partner in Armani’s eyewear division, could also emerge as a contender, given its deep ties to the brand.

Silvana Armani, who succeeded her uncle as creative director of womenswear, has so far resisted radical departures from his aesthetic. Her latest Milan Fashion Week collection, which closed the week on Sunday, reinforced the brand’s signature relaxed tailoring—whisper-thin silk shirts, cashmere cardigans, and unstructured suits—while subtly modernising it with materials like cotton, a departure from Giorgio’s preference for structured fabrics.

“My woman inevitably ends up looking a bit like me,” she told interviewers, a nod to her own minimalist wardrobe of trousers, jackets, and shirts. The collection also paid homage to her uncle’s past, including a double-breasted black suit inspired by a childhood photo of Giorgio at his communion and a bomber jacket printed with his portrait.

Yet beneath the surface of continuity, cracks in the status quo are appearing. Last week, the house appointed Dario Vitale, an external designer, as creative director of Emporio Armani—the diffusion line launched in 1981 that now accounts for nearly a third of the group’s revenue. Vitale, whose tenure at Versace ended abruptly last year after widespread acclaim, previously shaped Miu Miu’s viral success.

His appointment marks the first time an outsider has led an Armani line, and industry insiders expect him to eventually take over the creative direction of Giorgio Armani itself—a move that could reassure potential buyers of the brand’s ability to innovate beyond its founder’s shadow.

The challenge for Silvana and the Armani family is twofold: proving the brand’s enduring relevance in a crowded luxury market while navigating the emotional and commercial weight of Giorgio’s legacy. The late designer’s fusion of high fashion with Hollywood glamour—from Diane Keaton’s 1978 Oscar greige jacket to Julia Roberts’ 1990 Golden Globes oversized suit—remains a cornerstone of Armani’s identity.

More recently, younger stars like Zendaya have revived interest in the brand’s archives, with the actress wearing a 1990s webbed dress to Italy’s Spider-Man premiere. Silvana’s latest collection included liquid black gowns and champagne-tasselled looks, demonstrating the house’s continued ability to deliver red-carpet drama.

But the luxury sector’s turbulence—driven by economic uncertainty, shifting consumer tastes, and the rise of digital-native brands—has tested Armani’s dominance. The brand’s 2025 revenue decline, though modest, follows a 3% drop in 2024, raising questions about its ability to sustain growth without Giorgio’s visionary leadership. LVMH, in particular, has been linked to Armani in past acquisition talks, and its entry could accelerate the brand’s global expansion, though it might also dilute its Italian heritage.

L’Oréal, meanwhile, could leverage Armani’s prestige to bolster its beauty portfolio, while EssilorLuxottica’s involvement in eyewear offers a natural synergy.

For Malaysia and Southeast Asia, where luxury consumption is growing but remains selective, Armani’s potential sale could have ripple effects. The region’s affluent consumers—particularly in Kuala Lumpur, Singapore, and Jakarta—have long favoured Armani for its understated elegance and association with global sophistication. A strategic investor like LVMH could deepen the brand’s presence in high-end retail hubs, while a L’Oréal-backed move might strengthen its fragrance and cosmetics lines, which have seen steady demand in Asia.

However, any dilution of Armani’s independent identity could alienate purists who value its artisanal roots.

Industry analysts and former collaborators with the house have noted that Silvana’s cautious approach—while preserving the brand’s DNA—may not be enough to satisfy acquisitive giants hungry for growth. “The market is looking for innovation, not nostalgia,” said a former Armani executive, who requested anonymity.

“If they want to sell, they need to show they can evolve.” Vitale’s appointment suggests the house is listening, but his track record at Versace—where his tenure was cut short amid internal strife—adds an element of uncertainty.

As talks with potential suitors advance, the next few months will be critical. The Armani family must decide whether to prioritise financial security through a sale or maintain control amid market volatility. For LVMH, L’Oréal, and EssilorLuxottica, the opportunity to acquire a piece of fashion history comes with risks: integrating Armani’s creative culture into a larger conglomerate without losing its soul.

Meanwhile, Silvana’s Milan show served as both a tribute and a test—proving that Armani’s legacy can endure, even as the winds of change gather force. The question remains whether the brand’s next chapter will be written by its heirs, its new investors, or the next generation of designers ready to redefine its future.