HermèsTurns ToBankers For Defence Against LVMH

Online, November 30, 2010 (Newswire.com) - Luxury fashion group Hermès has hired heavyweight bankers as "defence" advisers following predatory moves on the company by larger rival LVMH.

Hermès, famous for its Birkin bags brandished by celebrities including Victoria Beckham and actress Katie Holmes, has appointed BNP Paribas and Bank of America Merrill Lynch to advise the group.

The move comes after LVMH secretly built a 17.1pc stake in Hermès, triggering speculation the company controlled by Bernard Arnault, France's richest man, is interested in making a bid.

Mr Arnault has said his investment in Hermès is "friendly" and LVMH has no intention of taking control of Hermès but insiders suggest this is his standard tactic before launching an offer.