Italy's Luxottica and France's
Essilor on Monday announced they have agreed on a
50-billion-euro merger deal to create an eyewear giant with over
140,000 employees and sales in some 150 countries.
Luxottica, the world's leading spectacles maker, and Essilor,
the top manufacturer of ophthalmic lenses, would have jointly
reported net earnings of over 15 billion euros, based on 2015
annual results posted by the two companies, and a net combined
operating profit EBITDA of about 3.5 billion euros.
The companies said the merger, one of Europe's largest
cross-border deals, should bring medium-term annual revenue
benefits and cost cuts of between 400 and 600 million euros.
Following the operation, Italian holding company Delfin -
which is Luxottica's main shareholder and will also be the top
shareholder of the new entity - will hold a stake of 31% to 38%
in the new company.
Delfin is owned by Luxottica's founder and executive chairman
Leonardo Del Vecchio.
Luxottica shares soared 14% to 56.55 euros in mid-morning
trading in Milan after the merger was announced.
In Paris, shares in the French group went up 16.4.5% to 118.9
euros.
The merged group will be reportedly listed in Paris.
ALL RIGHTS RESERVED © Copyright ANSA
