Hermes Family Office Backed by Luxury Goods Fortune Eyes Diversification with Insurance Buy
A family office backed by members of the Hermes fortune is among the likely buyers of French insurer Albingia, signaling a goal to diversify their wealth away from luxury.
Investment Consortium Led by Chamoin Family
Krefeld Invest, the family office of heirs to the luxury goods fortune, is part of an investor group that’s in exclusive talks to buy the insurer from asset manager Eurazeo, according to a statement on Wednesday (Dec 11). The consortium is being led by existing shareholder the Chamoin family and also includes Canadian insurer Fairfax Financial Holdings.
Eurazeo to Sell 70% Stake in Albingia
Eurazeo said it expects to sell its entire 70% financial stake in Albingia, bringing around 289 million euros (S$408 million) of sale revenue to its balance sheet.
Hermes Fortune: A Luxury Goods Legacy
The Hermes fortune derives from its namesake firm Hermes International, known for selling pricey Birkin handbags. The family’s wealth is estimated at about US$171 billion, according to the Bloomberg Billionaires Index.
Krefeld: A Single Entity for Diversification
Krefeld brought together into a single entity eight Hermes family offices and investment vehicles that had been created by heirs from various branches of the sprawling clan. Named for the village in western Germany where founder Thierry Hermes was born, it’s charged with investing the personal wealth of its backers, who bear surnames including Puech, Mommeja, and Dumas.
First Public Investment for Krefeld
The family office has remained secretive about operations, management, and strategy since its creation in 2022. The Albingia deal is one of the first investments for Krefeld that has been announced publicly, and signals a goal of diversifying their assets.
Deal Structure and Timeline
The deal is subject to approval of various relevant authorities and is set to close in spring 2025.
Frequently Asked Questions
Q: Who is Krefeld Invest?
A: Krefeld Invest is a family office backed by members of the Hermes fortune.
Q: What is the purpose of Krefeld?
A: Krefeld was created to invest the personal wealth of its backers, who bear surnames including Puech, Mommeja, and Dumas.
Q: Who leads the consortium to buy Albingia?
A: The consortium is led by the Chamoin family and includes Canadian insurer Fairfax Financial Holdings.
Q: How much is Eurazeo expected to receive from the sale of Albingia?
A: Eurazeo is expected to receive around 289 million euros (S$408 million) from the sale of its 70% stake in Albingia.
