(Aug 25): Leonardo Maria Del Vecchio unexpectedly resigned from his roles at EssilorLuxottica SA, becoming the second heir of the eyewear maker’s founder, the late Leonardo Del Vecchio, to leave the company this year.
Voicing his opposition to the way the company is run, Leonardo Maria said he’s stepping down from his positions as chief strategy officer for the group and president of Ray-Ban. His decision comes against the backdrop of disagreements between the eight heirs of Leonardo Del Vecchio, who are stuck in a rut over the family estate, and threatens to add yet another wrinkle to the clan’s long-drawn saga.
Leonardo Maria criticised the management of EssilorLuxottica, pointing to what he sees as a disconnect between the corporate suite and the people who work at the company.
“The enthusiasm isn’t what it used to be,” he said in a letter published by MF announcing his decision. “The sense of belonging isn’t what it used to be. The distance is felt. And people know it before the markets do. Always.”
Leonardo Maria Del Vecchio will dedicate himself to new entrepreneurial projects, a company spokesperson said in a statement, expressing “gratitude for his contribution to the group’s growth and the realisation of the strategic vision championed by his father.”
Leonardo Maria’s surprise move comes as the heirs of Leonardo Del Vecchio, who set up EssilorLuxottica in 1961, struggle to resolve issues involving the Ray-Ban fortune of about €40 billion (US$47 billion or RM189.9 billion). The estate has been in turmoil since his death in 2022, with his heirs and a handful of advisers overseeing the eyewear empire.
Leonardo Del Vecchio’s will was intended to maintain unity between his heirs — six children born to three mothers; his widow Nicoletta Zampillo, 68; and Rocco Basilico, her son from a separate marriage.
Each received a 12.5% stake in Delfin, the family’s investment firm, but none was left in charge. Del Vecchio’s closest aide, Francesco Milleri, became chairman and chief executive officer of EssilorLuxottica and chairman of Delfin, with Romolo Bardin remaining CEO of the family holding company.
A requirement for near-unanimity on important decisions created a stumbling block for the divided family members. Their advisers have also sometimes disagreed.
In an attempt to end the stalemate, Leonardo Maria had offered to buy out two siblings, Luca and Paola, in a €10 billion plan that would have given him a 37.5% stake in the family firm, and cleared a path toward wrapping up his father’s estate. It was approved by a family vote in April, but from there the proposal faltered.
Leonardo Maria made known his decision to leave, effective Aug 31, in a letter to the board of directors and CEO Milleri. It was first reported by Italian newspaper MF on Tuesday.
He will remain a shareholder of the French-Italian manufacturer through his stake in Delfin, the largest shareholder of EssilorLuxottica with around 32%.
Aside from the eyewear giant, Delfin is invested in some of the most prominent Italian financial institutions, including Banca Monte dei Paschi di Siena SpA, Assicurazioni Generali SpA and UniCredit SpA.
Before Tuesday, shares of EssilorLuxottica had fallen about 40% year to date. The stock was down 0.9% in early trading in Milan.
Leonardo Maria’s exit follows that of his half-brother Rocco Basilico, who was chief wearables officer and head of the Oliver Peoples brand and left the company earlier this year after. The two had disagreed over the direction of travel for Delfin.
Representatives for Leonardo Maria Del Vecchio weren’t immediately available for comment.
Uploaded by Magessan Varatharaja