LVMH, the French luxury goods conglomerate, is reportedly closing in on a new wide-ranging partnership deal – for a number of its brands – with the iconic motor racing series Formula 1 (F1).
The talks, which US publication Bloomberg claims are in the closing stages, would see a variety of LVMH brands appear trackside at F1 races as well as prominently on broadcasts for the prominent series.
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Watch brand Tag Heuer, an LVMH company, is already a sponsor of F1’s Red Bull Racing team and has a strong presence across motorsport, including as a partner of the Formula E series which is now majority-owned by F1 owner Liberty Global.
Alongside Tag, which could replace long-standing F1 sponsor Rolex, other LVMH brands such as Moët and Chandon Champagne or the Belmond hotel chain could also be in the frame to join F1 as prominent sponsors through the deal, which Bloomberg suggests could be worth as much as $150 million per year.
Rolex alone currently pays an estimated $52.5 million per year to sponsor F1, and has agreements with individual teams, locales, and races alongside this.
That said, the variety of LVMH’s offering, as well as the scale and renown of its major brands, would likely play a major role in it usurping Rolex as well as bringing it dominance over other sponsorship categories.
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By GlobalDataLVMH is no stranger to sports sponsorship, having stepped in as a major commercial partner of the recent Paris 2024 Olympic Games in a deal that covered its Chaumet watch company, its spirits brand Moët Hennessy, and its “maison” luxury fashion houses.
F1 often stages races in France, although the French GP is not a permanent fixture on the sport’s calendar and is not set to feature in 2025, although the Monaco Grand Prix in the neighboring principality is an iconic and annual fixture.
