Rihanna Lost $36 Million After Fashion Venture Collapse
Rihanna has redefined what it means to be a global entrepreneur, building a luxury empire that bridges music and fashion. In 2019, she made history as the first Black woman to lead a luxury fashion house under LVMH. She launched Fenty, a bold, inclusive brand that pushed the boundaries of high-end design. Alongside her LVMH partnership, Rihanna has built powerhouse labels like Fenty Beauty and Savage X Fenty. Unfortunately, Rihanna had reportedly lost millions after the collapse of one of her earlier fashion ventures with LVMH. Here’s what to know.
Rihanna reportedly lost $36 million after a failed fashion venture under LVMH
In May 2019, Rihanna reached a landmark milestone by partnering with LVMH, the global luxury goods conglomerate behind brands such as Louis Vuitton, Dior, and Fendi. She had plans to launch a new premium fashion house: Fenty. Rihanna became the first woman, and the first woman of color, to helm an original maison under LVMH’s umbrella, making the partnership particularly historic.
“Designing a line like this with LVMH is an incredibly special moment for us,” Rihanna stated at the time, according to her official site. “Mr. Arnault has given me a unique opportunity to develop a fashion house in the luxury sector, with no artistic limits. I couldn’t imagine a better partner, both creatively and business-wise, and I’m ready for the world to see what we have built together.”
Fenty officially launched with its first collection slated for spring 2019, according to CNBC. However, in February 2021, Rihanna and LVMH announced that the ready-to-wear portion of Fenty would be put on hold. The brand’s activities “based in Europe” were suspended “pending better conditions,” CNBC reported again. The rationale given was that conditions in the global market, including the impact of the COVID-19 pandemic, made for a challenging business environment.
According to DailyMail.com, Rihanna’s Denim UK Holdings accounts show she lost $36 million from the failed venture. Rihanna reportedly put $34.86 million toward the venture. LVMH contributed $34.88 million.
Rihanna previously talked about potentially failing with her Fenty line
In May 2019, Rihanna spoke to The New York Times about partnering with LVMH. The reporter asked Rihanna about the potential to fail with the new venture.
“You know what’s crazy, I have a tattoo that’s written backward so I can read it in the mirror: ‘Never a failure. Always a lesson.’ So what you just said is, like, boom! How you gonna learn without making mistakes?” Rihanna explained. “Did you believe your mom when she said, ‘Don’t touch the iron?'”
Rihanna went on to call the partnership “the beginning of a new world.”
“Everything was a collaboration, so I’ve plugged my DNA into theirs, but there was already a blueprint,” she continued. “I’m learning so much: about the tailoring, the fabric — I’m seeing fabrics that I’ve never seen in my life.”
LVMH is exploring selling its 50% stake in Fenty Beauty
LVMH, the luxury group that co-owns Fenty Beauty with Rihanna, is reportedly exploring the sale of its 50% stake in the brand. According to Reuters, the company has hired investment bank Evercore to help find possible buyers as it considers stepping back from the partnership.
Fenty Beauty, which amassed approximately $450 million in sales in 2024, is estimated to be worth between $1 billion and $2 billion. The move could be part of LVMH’s plan to simplify its business and focus on areas with faster growth. While nothing has been finalized, the potential sale has sparked curiosity about what this means for Fenty Beauty’s future.
