Valentino installs Bellini as CEO; Kering's 2028 option raises execution stakes
Bottom Line Impact
A disciplined 12-month reset in product mix and DTC execution can reverse recent declines, expand margins by 200-300 bps, and enhance Valentino's strategic value to Kering ahead of the 2028 option while reinforcing brand equity against couture leaders.
Key Facts
5- Mayhoola holds 70% of Valentino; Kering acquired 30% in 2023 with an option to buy 100% in 2028
- Valentino's latest results: EBITDA down 22% and sales down 3% versus prior period
- New CEO Riccardo Bellini previously led Mayhoola since January; succeeds Jacopo Venturini after a 5-year tenure
- Kering's final purchase price in 2028 will be marked by Valentino's development between 2024 and 2028, increasing pressure for measurable turnaround
- Leadership transition follows a period of underperformance, elevating urgency for margin repair and top-line reacceleration within 12 months
Time Horizons
Key Roles Affected
Executive Summary
Riccardo Bellini moves from Mayhoola to lead Valentino after a period of softer performance, with EBITDA down 22% and sales down 3%. With Kering holding 30% and a 2028 option for full control, the next 12-24 months will directly shape valuation, forcing accelerated operational fixes, brand heat rebuilding, and clear KPI governance across Valentino, Mayhoola, and Kering.
Actionable Insights
Immediate Actions (Next 30-90 days)
Launch a 90-day turnaround sprint with 12-month targets: sales +3-5%, EBITDA margin +200-300 bps, DTC mix +5-7 pts, inventory turns +0.5x; cut long-tail SKUs by 20-30% and re-stage hero programs led by Rockstud and couture capsules.
Rationale: Quantified goals tied to product focus and channel mix will restore margin and brand heat while directly improving the 2028 valuation baseline.
Role affected:Valentino CEO
Urgency level:immediate
Reignite brand heat via 2-3 limited drops per season, China-first digital activations on WeChat and Douyin, and clienteling to top 5% VICs; target 80%+ 8-week sell-through on drops and waitlist depth of 2-3x supply for top SKUs.
Rationale: Scarcity-led demand and focused VIC engagement drive full-price sell-through and ASPs while rebuilding cultural relevance.
Role affected:Valentino CMO
Urgency level:immediate
Short-term Actions (6-12 months)
Define a valuation bridge to 2028 with KPI guardrails and a synergy blueprint (procurement, leather sourcing, shared services, CRM and media buying) targeting 150-250 bps EBITDA uplift; set quarterly operating reviews with Valentino.
Rationale: Early integration readiness and KPI governance will preserve option value, inform capital allocation, and accelerate capture if full acquisition proceeds in 2028.
Role affected:Kering CFO and Corp Dev
Urgency level:short-term
Strategic Actions
Align management incentives with a 2028 value creation plan, linking variable comp to sales CAGR 4-6%, EBITDA margin recovery to pre-decline levels plus 200 bps, and DTC share 75-80%; ring-fence 3-4% of sales for store upgrades and data stack.
Rationale: Governance and capex discipline de-risk execution and maximize exit or rollover value under Kering's option.
Role affected:Mayhoola Board
Urgency level:strategic
Risks & Opportunities
Primary Risks
- Execution risk during leadership transition leading to slower-than-planned margin recovery
- Demand softness in China and US aspirational segments suppressing leather goods sell-through
- Channel conflict and wholesale contraction driving short-term top-line pressure
Primary Opportunities
- DTC mix shift and price architecture optimization expanding gross margin by 200-300 bps
- Kering-enabled synergies in sourcing, CRM, and media efficiency adding 150-250 bps to EBITDA
- Hero product relaunches and couture halo to lift ASPs 5-8% and reduce markdown dependency