Giorgio Armani: How governance becomes a tool for continuity and identity

Giorgio Armani SpA will be entirely transferred to the Giorgio Armani Foundation . This was confirmed by the opening and publication of the two wills that the king of Italian fashion wrote between March and April. This represents a significant shift, as the company transitions from being led by a single leader to an institution with a specific mandate: to preserve its identity .

According to the two wills, the Foundation receives 9.9% of the shares in full ownership and the remaining 90% in bare ownership , while the usufruct is divided between Pantaleo Dell'Orco, his three nephews, and his sister Rosanna . The complex governance plan outlined by the designer, on the one hand, recognizes an active role and direct benefit to those closest to Armani, while on the other, maintaining firm strategic control through the Foundation.

Furthermore, shareholders were divided into six categories , each with different rights. The aim? To protect the group from purely financial considerations and avoid conflicts.

The will also specifies that the top positions of president and CEO will be held by those who have shared Armani's vision for years. This is not an automatic family succession, but rather the valorization of a professional community that has grown around the founder. Given that the fashion industry is often dominated by takeovers or sudden changes of ownership, this decision strengthens internal trust and reduces the risk of leadership conflict.

Furthermore, to the surprise of many, Giorgio Armani also stated that he intends to sell , within 18 months of the opening of his will, 15% of the fashion house to one of the LVMH group, the EssilorLuxottica group, or the L'Oréal group. Subsequently, the fashion house must sell a further 30% of the capital , up to a maximum of 54.9% . In short, within a few years, the Armani Foundation will retain approximately 30% of the capital. If things don't work out, Giorgio Armani has considered a possible stock market listing , which, however, should not occur for five years, the period of time he believes is necessary for the new structure to settle in and consolidate.

Finally, the designer also spelled out the founding principles that will guide the Foundation in managing the Group. These include "the management of activities ethically, with moral integrity and fairness," "the pursuit of a simple, modern, elegant, and unostentatious style," and "a focus on innovation, excellence, quality, and product sophistication."

In short, Armani has crafted his vision of governance with the same precision he uses to craft a suit: clean lines, solid structure, and attention to detail. And like his creations, this structure is destined to endure, offering a model the worlds of fashion and finance can look to for years to come.