In a statement Monday, Tiffany chairman Roger N. Farah said the deal would give the company “an exciting path forward with a group that appreciates and will invest in Tiffany’s unique assets and strong human capital.”
The deal would also bolster LVMH’s jewelry and watch lineup, which already includes legacy brands such as Hublot and TAG Heuer. It would also boost the French company’s presence in the United States, which accounts for about a quarter of its revenue.
LVMH has for years been the top seller of high-end goods, according to a Deloitte analysis published this year. But sales in its jewelery and watch division make up only 9% of the company’s total revenue.
Tiffany and LVMH said Monday that the deal is expected to close in the middle of 2020.
CNN Business’ Clare Duffy contributed to this report.