Eyewear giant EssilorLuxottica has announced an agreement with VF Corporation to acquire the streetwear brand Supreme for $1.5 billion. This cash deal, expected to close by the end of the year, represents the eyewear company’s first foray into the apparel sector. EssilorLuxottica, known for manufacturing eyewear for popular brands like Ray-Ban and Oakley, sees significant potential in this acquisition.
“We see an incredible opportunity in bringing an iconic brand like Supreme into our company,” said CEO Francesco Milleri and Deputy Chief Paul du Saillant in a joint statement. They emphasized that the acquisition aligns with EssilorLuxottica’s focus on innovation and development, providing a direct connection to new audiences.
Meanwhile, Bracken Darrell, CEO of VF Corp., noted that Supreme has seen considerable growth in key markets such as China and South Korea. However, he acknowledged that the distinct business models of Supreme and VF led to limited synergies, making the sale a logical step.
Supreme, founded in downtown Manhattan in 1994, has become a staple in skateboarding and urban fashion culture, employing skaters and local artists. With a strong online presence, the 30-year-old company currently operates 17 stores across the U.S., Asia, and Europe.
The sale of Supreme is anticipated to impact VF Corp.’s earnings per share in fiscal 2025.