Kering's Bold CEO Shakeup: Luca de Meo Takes Helm

Kering announced the hiring of Renault's CEO, Luca de Meo, as its new leader to rejuvenate the luxury group. De Meo's appointment, a notable shift for both companies, indicates Kering's strategic overhaul. His departure is a significant change for Renault, which he helped turn around during his tenure.

Kering, the luxury conglomerate behind Gucci, announced a major leadership shakeup by appointing Renault's CEO, Luca de Meo, to lead the struggling company. Confirming recent reports that buoyed its shares, Kering aims to leverage de Meo's experience to navigate its way out of financial troubles.

The move underscores Kering's commitment to redefining its strategic approach, as the company has struggled to regain its pre-pandemic momentum. With significant debt and slipping stock market performance, the group is relying on de Meo's turnaround expertise and brand management skills.

For Renault, de Meo's departure is a setback. During his five-year tenure, he successfully revitalized the company and enhanced its alliance with Nissan. Despite his exit, Renault maintains that their strategic plans remain intact, though analysts express concerns over the impact of this leadership change.

(With inputs from agencies.)