Billionaire Heir Plans €14 Billion Buyout to End Family Feud
Finn's Take· TL;DR- Leonardo Maria Del Vecchio seeks €14 billion buyout to acquire siblings' 25% Delfin stake, raising his control to ~37.5% of the family holding.
- Three-year family governance stalemate has frozen dividends and blocked strategic decisions despite strong underlying business performance doubling 2024 profits.
- Resolution carries implications beyond eyewear, affecting major Italian financial institutions including Generali, UniCredit, and Monte dei Paschi where Delfin holds significant stakes.
Breaking the Stalemate
Leonardo Maria Del Vecchio is nearing a multibillion-euro agreement to acquire a combined 25% stake in family holding Delfin from siblings Luca and Paola, potentially resolving a three-year governance stalemate at EssilorLuxottica. The 30-year-old son of the late eyewear empire founder is making his boldest move yet to consolidate control over one of Europe's most valuable family businesses.
If successful, his Delfin stake would rise from 12.5% to roughly 37.5%, bolstering his influence over the holding that controls ~32% of EssilorLuxottica. Leonardo Maria told the newspaper that the transaction would be structured as a leveraged buyout backed by a pool of unnamed banks. The deal involves purchasing stakes valued at approximately €14 billion, though sources indicate it may be structured at a discount to current market values.
What followed was three years of infighting, frozen dividends, blocked governance decisions, and a family stalemate that has hung over some of the most consequential corporate assets in Italy. With six children from three different relationships, Del Vecchio divided his estate into eight equal parts among his heirs, who have not been able to agree on a plan for the division of assets.
The Business Impact
Disagreements among shareholders have prevented the distribution of a dividend above 10% of net profit or any change to the current governance structure — a stranglehold that has frustrated Milleri's ability to execute strategy and blocked the kind of decisive capital allocation that a holding company of Delfin's scale routinely requires. Francesco Milleri, who serves as both EssilorLuxottica's CEO and Delfin's chairman, has been caught in the crossfire of this family dispute.
Delfin reported net profits of €1.393 billion in 2024, more than doubling the previous year's result, with dividend revenues totalling over €1.144 billion — a 29% increase from 2023. The underlying business is thriving. Yet the family discord has prevented shareholders from fully benefiting from this success.
EssilorLuxottica is a global leader in the design, manufacture and distribution of ophthalmic lenses, frames and sunglasses. Formed in 2018, the company brings together the complementary expertise of two industry pioneers, one in advanced lens technology and the other in the craftsmanship of iconic eyewear. Influential eyewear brands including Ray-Ban and Oakley, lens technology brands including Varilux® and Transitions®, and world-class retail brands including Sunglass Hut and LensCrafters are part of the EssilorLuxottica family.
Beyond Eyewear
Aside from being the biggest shareholder in EssilorLuxottica, Delfin holds stakes in Covivio, Banca Monte dei Paschi, Generali and UniCredit. Delfin's web of stakes in EssilorLuxottica, Generali, Monte dei Paschi, and UniCredit makes it one of the most consequential shareholders in the country's financial and industrial architecture. The resolution of this family dispute carries implications far beyond the eyewear industry.
Luca and Paola had previously attempted to transfer their shares into separate entities to make them more tradable, but failed to secure the required majority at a Delfin shareholders' meeting — leaving them with limited options and strengthening Leonardo Maria's negotiating hand considerably. Meanwhile, family disputes continue: two heirs have taken legal action in Luxembourg to set the price of their shares, while Leonardo Maria is also contesting the transfer of part of his mother's stake to his half-brother.
Looking Ahead
Leonardo Maria has expressed his desire to "build trust after four years of disputes" and says he wants to prioritize reaching an agreement and stabilizing his father's legacy. Leonardo Maria Del Vecchio aims to preserve the strategic stake in EssilorLuxottica (31.9% of the capital), which he describes as the "jewel" of the holding.
Alongside the buyout discussions, the prospect of a stock market listing for Delfin is beginning to take shape, with scenarios under consideration including the creation of a separate vehicle for the financial holdings to be floated, or the listing of the entire Delfin entity. A listing would fundamentally reshape one of Europe's most powerful private corporate structures, introducing public market discipline and external shareholders into what has until now been an entirely private family affair.
A resolved, consolidated ownership structure with a single dominant shareholder would free Milleri to execute strategy with the decisiveness the company's scale demands — and would restore the dividend flows that have been suppressed for three years. The family dispute is the only thing standing between Delfin and its potential — and Leonardo Maria Del Vecchio is moving decisively to remove that obstacle. The success or failure of this buyout could determine whether one of Europe's great business empires emerges stronger or remains trapped in family dysfunction.