CHINA. A ceremony in Hong Kong today marked the completion of China Tourism Group Duty Free’s (CTG Duty-Free) acquisition of DFS’s travel retail businesses in Hong Kong and Macau and intangible assets in Greater China.
The definitive sale and purchase agreement was jointly announced on 19 January by DFS – the luxury travel retailer owned by LVMH and DFS Co-Founder Robert Miller – and Beijing-based CTG Duty-Free.
CTG Duty Free Executive Director and President Luke Chang, LVMH North Asia President Michael Schriver and DFS Chairman and CEO Ed Brennan took part in the ceremony.
At the same time, LVMH and the Miller family finalised their subscription for newly issued H-shares in CTG Duty-Free.
Following the transaction closing, CTG Duty-Free, through its wholly-owned subsidiary China Duty Free International Limited, has officially assumed ownership and operations of DFS’s travel retail stores in Hong Kong and Macau, and directly acquired its core intangible assets including a series of DFS brands and intellectual properties for exclusive use in China.
Chang said, “I want to thank all the teams for their exceptional work around the clock over the past months. Our shared commitment and collective efforts have made it possible to successfully complete this landmark transaction today.
“Today’s closing is not the finish line, but the launchpad for deep integration and value creation. CTG Duty-Free will move swiftly to initiate integration and operational work. We will not only preserve and elevate DFS’s iconic shopping experience, but also create a ‘super platform’ that exemplifies commercial excellence and cultural confidence.”
Chang added, “I would like to take this opportunity to extend a warm welcome to our DFS colleagues. Your professionalism and dedication have built DFS’s reputation and influence. Together, we can work on more meaningful and impactful endeavours, growing stronger and going further as one.”
Schriver stated: “The relationship between LVMH and China represents a deep friendship built over decades. We remain confident in the vitality and potential of the Chinese market. LVMH’s commitment to quality and creativity is perfectly aligned with CTG Duty-Free’s mission to deliver exceptional travel retail experiences.”
Brennan said: “As a leader in the travel retail industry, CTG Duty-Free possesses a profound understanding of Chinese market. We are confident that under CTG Duty-Free’s operational expertise and strategic deployment, DFS will achieve growth across a broader regional landscape.
“I want to extend special thanks to all our colleagues in Hong Kong and Macau. Your professionalism, passion and commitment have built the brand value DFS enjoys today. As this transaction closes, you’re joining a much larger platform. I’m confident that within the CTG Duty-Free family, you’ll find greater opportunities for growth while continuing to uphold DFS ‘craftsmanship’ in delivering exceptional customer experiences.”
On post-acquisition operations, CTG Duty-Free Chief Operating Officer Yvonne Chan said, “Following the acquisition, CTG Duty-Free is dedicated to ensuring a smooth operational transition, marking the beginning of a new chapter defined by elevated customer experiences.
“DFS will continue to uphold its hallmark standard of excellence, deepening its connection with discerning clientele through exclusive privileges and personalised services across Hong Kong and Macau. Moving forward, by harnessing CTG Duty-Free’s synergistic resources, DFS will deliver even more competitive and exceptional travel retail experiences for global consumers, continuously setting new benchmarks for the industry.” ✈
