Essilor and Luxottica Group to merge

Essilor and Luxottica Group have announced plans to merge after an agreement with Luxottica majority stakeholder Delfin was sealed today.

The deal ‘would allow the combined group to better seize growth opportunities resulting from strong demand in the eyewear market, driven by the increasing need for corrective and protective eyewear and the appetite for strong brands’, a statement said.

The companies vowed to ‘create a key player, operating across all segments of the eyewear industry’.

The statement said that together, Luxottica and Essilor would have more than 140,000 employees and sales in more than 150 countries. Based on the companies’ 2015 results, they would have combined net revenues of more than €15bn and profits of €3.5bn. Cost synergies ranged from €400m to €600m in the medium term, accelerating over the long term, the statement added.