The French luxury conglomerate LVMH is approaching a major sponsorship deal with Formula 1, according to a report.
LVMH, a Paris-based company boasts a wealth of brands, 75 to be exact, across several sectors including wines & spirits, fashion & leather goods, perfumes & cosmetics, watches & jewellery, retailing and more.
Bloomberg writes that LVMH could supplant Rolex, which has been F1’s official timekeeping partner since 2013, with its own watch brand Tag Heuer.
The deal, said to be in late-stage talks and reportedly worth $150 million a year would see LVMH place several more of its brands via sponsorship branding and activations at F1 events, including its hotel chains and Moet & Chandon Champagne.
Sources indicate that a multi-brand deal could be agreed upon with Formula 1 by the end of the year and LVMH Chief Financial Officer Jean-Jacques Guiony said during an analysts and investors call in July that “there are some discussions, but it’s not something I can elaborate on, nothing is decided.”
Should a deal come to fruition, however, it would follow multiple sporting partnerships that LVMH holds in other series and disciplines.
Via its luxury luggage and bag provider Louis Vuitton and jewellery maker Tiffany & Co, LVMH enjoys a presence at the likes of the Fifa World Cup, displaying LV trunk cases, or in the NFL with the production of marquee trophies.
In addition, LVMH was a leading sponsor at the 2024 Paris Olympic and Paralympic games this summer, worth in the region of €150 million.
F1 is no stranger to major brand partnerships having in recent weeks announced deals with Santander and Lenovo.
Still, a multi-brand deal with LVMH would elevate all parties thanks to F1’s exponentially rising global platform.
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