Related: Gucci, YSL owner pushes back on tariff threats The French luxury giant, home to Gucci, Yves Saint Laurent, Balenciaga, Bottega Veneta, and others, is unraveling. After riding high for years,

Francois-Henri Pinault's decision to hire Renault boss Luca de Meo is an audacious but necessary move to address the twin challenge of sagging sales and mounting debt at luxury group Kering , investors and industry players say.

Shares of Kering, the luxury-goods company behind Gucci, Yves Saint Laurent and other brands, rallied as much as 10% on Monday after reportedly luring Renault’s chief executive to run the company.

Kering setzt bei seinem nächsten Vorstandsvorsitzenden auf den Noch-Renault-Chef. Der Italiener hat den französischen Automobilhersteller erfolgreich saniert und soll seine Fähigkeiten nun auch beim angeschlagenen Modelabel Gucci unter Beweis stellen.

Dakota Johnson is a longtime Gucci girl. She styled the brand's streetwear years before she became an ambassador in 2017. And even though her close friend Alessandro Michele left the creative director post in 2022, her loyalty to the Italian label hasn't faded. On June 4, the Fifty Shades of Grey actor proved her fidelity with a new Gucci tote bag.

François-Henri Pinault is stepping back as CEO of Kering, hoping Luca de Meo can pull Gucci and Saint Laurent’s parent company out of a slump.

European shares made cautious gains on Monday, with Gucci -owner Kering leading the pack following a leadership change. The news helped to break a five-day losing streak as investors pivot from the conflict in the Middle East. The pan-European STOXX 600 ended 0.4 per cent higher amid the developments.

Reports of de Meo’s switch to Kering sent the luxury group’s shares up by nearly 12% on Monday, recording their biggest one-day percentage gain since November 2008.