(May 23): The billionaire family behind Chanel is on track to pocket at least US$21 billion ($26.9 billion) from payouts over the past decade, a huge windfall as their brand prospers during a downturn hitting some luxury-good rivals.
The Wertheimer clan’s Cayman Islands-based holding company for Chanel Ltd is set to receive US$5.8 billion in dividends for 2025, more than half of which will be paid this year, according to a UK filing. That’s on top of the approximately US$15.1 billion of payouts amassed by the family in the intervening years since 2017.
The huge dividends have helped propel septuagenarian brothers Alain and Gérard Wertheimer into the ranks of the world’s wealthiest dynasties. They inherited the company, known for its €10,500 (US$12,200 or $15,620) quilted flap bag and tweed outfits, from their grandfather, one of the original business partners of creator Gabrielle “Coco” Chanel. Sales growth last year outpaced that of market leader LVMH Moët Hennessy Louis Vuitton SE, which owns Christian Dior Couture.
Alain, 77, and Gérard, 75, have a combined net worth of about US$85 billion, according to the Bloomberg Billionaires Index. They are credited with owning equal shares of Chanel through offshore holding company Mousse Investments Ltd, which feeds into New York-based Mousse Partners, one of the world’s largest and most discreet family offices, run by half brother Charles Heilbronn.
The brothers are media-shy and secretive. Closely-held Chanel reports financial results just once a year, generally presented by top executives from outside the family. Alain Wertheimer is Chanel’s global executive chairman, while Gérard is no longer listed as a director.
On Tuesday, the French firm reported 2025 revenue rose 1.8% on a comparable basis to US$19.3 billion. The numbers indicate the maker of No 5 fragrance showed greater resilience over the period than LVMH, the world’s largest luxury conglomerate founded by Bernard Arnault, while still lagging growth at Hermes International SCA.
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LVMH’s Louis Vuitton, Chanel and Hermes form an exclusive trio of top-end fashion brands whose annual sales have risen since the post-pandemic boom to hover around the US$20 billion mark. While LVMH doesn’t break out earnings for each of its approximately 75 labels, leather goods maker Louis Vuitton has been a major source of growth.
Like Chanel, these labels have also proved extremely lucrative for their owners over the past decade, according to Bloomberg calculations. Arnault through the end of last year pulled in about €23 billion in dividends from his investment holdings — mostly made up of his stake in LVMH — while the extended multi-generational family behind Hermes pocketed around €7.2 billion.
The latest Chanel earnings confirm the Wertheimers received a dividend of US$5.7 billion for 2023 but didn’t take a payment for 2024 when the company reported heavy spending on marketing and upscale property acquisitions.
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Chanel “has always maintained a very consistent financial policy with a zero net debt at year-end, in all circumstances”, according to a representative, who declined to comment on the timing of dividend declarations.
The brothers have also taken steps to diversify their holdings. Mousse Investments describes itself as having a “broad range of asset classes in public and private markets” in addition to Chanel. While Mousse Partners doesn’t disclose how much money it controls, some companies have named it as a participant in deals or as a shareholder. That points to investments in stocks, real estate, credit and private equity.
Over the years, Mousse Partners has backed a wide range of start-ups including mental health provider Brightside Health, digital advertising firm Brandtech Group, biotechnology company Evolved by Nature, food company Harmless Harvest and healthcare provider Thirty Madison. In 2024 Mousse joined the billionaire L’Oreal heiress in investing in high-end clothing brand The Row.
The family office has been listed as having a roughly 8% stake in French digital entertainment company NetGem SA and 5.7% in hair products maker Olaplex Holdings Inc, which Henkel AG agreed to buy earlier this year. Gérard Wertheimer’s son, David, is backing an investment fund putting money into lifestyle companies.
Uploaded by Tham Yek Lee
