LVMH invests in China outlet malls
The world’s largest luxury brand owner LVMH is to take a cornerstone stake in a unique, upmarket outlet mall business in China, Sasseur.
The investment will come via its Singapore-based L Capital Asia investment arm, which specialises in identifying upcoming brands and providing venture capital for their growth and market development.
L Capital Asia will invest more than US$100 million in Sasseur Cayman, which owns four outlet malls, representing the fund’s second biggest investment in China to date. Sasseur plans to open another four malls this year and eventually expand the chain to 20.
“The outlet concept will become much bigger in China,” L Capital Asia chairman Ravi Thakran said. “As Chinese consumers become more sophisticated, they want better value.”
Sasseur Group describes itself on its website as “a comprehensive conglomerate with business as its core”. It uses distinctive artistic executions to lift the shopping experience above the sterile, budget nature of most modern day outlet centres around the world.
The company dates back 20 years as a brand, having started as a coffee shop.
It says it adhere to a core business philosophy of ‘art, technology, brand’, developing malls of “high taste”.
Sasseur sells womens and mens fashion, high end jewellery and sports and leisure goods and provides dining and entertainment options.
One of its early malls was designed with a blend of Italian inspired architecture and historic influence from the ancient city walls of Nanjing, eastern Sichuan houses and An Hui style architecture. Others have more abstract themes.
Chairman and founder Xu Rongcan says his goal was to make Sasseur “an outlet with attitude”.
“What is Sasseur attitude? That is the persistent pursuit of beauty. Sasseur is my entire understanding of art business. I am willing to implant all my understanding and persistency of beauty into my outlet, not only the buildings, luxury, decoration, business content, but also to implant these persistent and pure values into every employee, into every inch land of Sasseur. In the eco art business, let consumers experience the beauty, quality and harvest beauty.”