Kering will take a 20% stake in Raselli Franco with an initial €115 million investment, a staged purchase that locks in critical manufacturing scale and sustainability credentials for its jewelry houses.
- Price: €115 million initial investment (Q1 2026)
- Stake: 20% (staged acquisition to full ownership by 2032)
- Origin: Raselli Franco Group — Italian-headquartered jewelry manufacturer
- Date announced: December 2025 (subject to regulatory approvals)
The deal in brief
Kering has agreed to acquire an initial 20% stake in Raselli Franco Group, a Turin‑region manufacturer that spans the jewelry value chain from raw‑material sourcing and stone handling to prototyping, component production and final quality control. The first instalment—€115 million, payable in Q1 2026—is the opening tranche of a staged purchase that Kering expects will culminate in full ownership by 2032, pending customary conditions and approvals.
Why it matters in 2025
The move is emblematic of three 2025 dynamics reshaping the sector. First, vertical integration: luxury houses are re‑anchoring production to secure provenance and mitigate supply disruptions, giving them a firmer margin profile and a more tactile command of finish and fit. Second, sustainability and traceability: Raselli’s control of stone and material flows offers Kering measurable leverage over responsible sourcing claims—important to investors and high‑net‑worth clients who now demand documented environmental and social performance. Third, craft as capability: the substantial heft of this investment buys not merely capacity but proprietary know‑how in precision prototyping and small‑series production, aligning with sculptural, design‑forward directions seen across Boucheron, Pomellato, Dodo and Qeelin.
Operational read: what Raselli brings
Raselli Franco’s footprint covers sourcing, in‑house design support, component casting and finishing, plus integrated quality control. For Kering this reduces dependence on external workshops, compresses lead times and preserves the vitreous luster and calibrated setting standards that distinguish high‑end jewelry. The company’s longstanding partnership with Kering’s houses means the integration risk is lower than an unknown supplier acquisition—but scale and governance will be tested as the group expands production volumes under a consolidated model.
Impact for US retailers and investors
For U.S. multi‑brand retailers and wholesale buyers the immediate implications are practical: expect firmer delivery schedules from Kering brands and potentially tighter allocation windows for independent suppliers who previously relied on Raselli’s capacity. For investors, the transaction signals a premium being placed on industrial control in luxury: securing manufacturing narrows downside from raw‑material volatility and strengthens brand authenticity claims—both increasingly priced by the market.
Key considerations:
- Margin and pricing: vertical integration can protect gross margins but requires capital intensity and disciplined cost management over the 2026–2032 integration horizon.
- Supply partners: third‑party workshops may see volume shifts; retailers should reassess supplier diversification and inventory buffers.
- ESG reporting: expect more granular material traceability disclosures from Kering as it levers Raselli’s sourcing chain.
- Strategic signal: other luxury groups may follow—acquisitions of manufacturing capabilities are becoming a strategic lever, not merely an operational fix.
From the CEO
Kering CEO Luca de Meo framed the move as strategic: Raselli Franco brings “exceptional savoir‑faire and innovation” and a “strong commitment to sustainability,” he said—language that underlines the acquisition’s twin aims of craft control and environmental governance.
The transaction is a clear statement of intent: Kering is investing in the tangible infrastructure that underpins jewelry desirability. For U.S. buyers and investors, the question is whether this industrial consolidation will deliver steadier supply and stronger margins—or prompt a re‑rating of the labour‑intensive parts of the value chain as luxury houses internalise more of their provenance story.
Image: Jewelry manufacturing. (Raselli Franco)
Image Referance: https://rapaport.com/news/kering-to-acquire-stake-in-jewelry-manufacturer-raselli-franco/