technology

Family Feud Threatens $46 Billion Tech Empire

Published on 07/08/2026 05:41 in technology • Nancy Taylor

Leonardo Del Vecchio, founder of EssilorLuxottica, established a vast business fortune and sought to ensure its longevity after his death. However, ongoing family disputes now threaten to dismantle his $46 Billion legacy.

Complex Succession Battle

For four years, the newly-minted multi-millionaires have been embroiled in conflicts, disagreements among their advisors, and an unsuccessful attempt by his son, Leonardo Maria Del Vecchio, to resolve the situation. Leonardo Maria, an occasional DJ and owner of clubs frequented by artists like 50 Cent and French Montana, failed to broker a solution.

Governance Crisis and Asset Stakes

Governance Crisis and Asset Stakes

The discord has triggered a crisis of governance within Delfin Sarl, a major shareholder in EssilorLuxottica and Banca Monte dei Paschi di Siena SpA, the world’s oldest bank. Sources suggest negotiations for Del Vecchio’s succession could lead to separating EssilorLuxottica’s stake from the family’s financial assets, but disputes increase the risk of a contentious break.

Failed Deal and New Financing

Failed Deal and New Financing

Initially, Leonardo Maria offered to buy out two siblings, Luca and Paola, for €10 billion, but the plan stalled. Approved by family vote in April, it subsequently fell through. The decline of EssilorLuxottica’s stock, due to its involvement in Ray-Ban and smart glasses development with Meta Platforms Inc., further complicated financing. Leonardo Maria also sought to include €1 billion of his existing debt in the deal, but the Delfin board was divided and refused to back the transaction in case of default.

Refinancing and Potential Split

EssilorLuxottica’s shares have plummeted 49% since November, representing a loss of €23.4 billion. Leonardo Maria is now pursuing a €1.1 billion refinancing with Apollo Global Management Inc., potentially expanding to €10 billion. A proposed alternative involves separating the eyewear division from the bank and insurance holdings for liquidity, though this faces internal resistance due to the consolidation of the Italian banking sector.