Pop star and entrepreneur Rihanna has suffered a major financial and business blow after luxury group LVMH officially wound down its joint fashion label, Fenty, marking the end of what was once hailed as a groundbreaking collaboration. Reports indicate the singer lost an estimated $62 million in the process.
The move follows months of speculation about LVMH’s restructuring plans, as the French luxury conglomerate faces declining sales and a slowdown in the global high-end market.
When Fenty was launched in 2019, it was celebrated as a cultural and business milestone. The brand was meant to redefine modern luxury — younger, more inclusive, and digitally driven — with Rihanna as its creative head.
The early collections were praised for their clean tailoring, bold silhouettes, and representation of diverse models. However, despite initial excitement, the label struggled to maintain commercial momentum.
Its pricing limited accessibility, and its aesthetic sat between luxury and streetwear in a way that didn’t capture a consistent audience.
Then came the pandemic, which disrupted global retail operations and further weakened sales. By early 2021, LVMH announced the brand would be ‘paused,’ citing challenges in the market and internal restructuring.
The company has now confirmed that the venture has been shut down completely.
LVMH’s decision to exit the partnership comes at a time when the global luxury industry is under pressure.
The company, which owns brands like Louis Vuitton, Dior, and Fendi, has been grappling with reduced demand from key Asian markets and shifting consumer spending patterns in Europe and the U.S.
This year alone, LVMH’s stock value has dropped significantly, erasing billions in market capitalization.
Analysts say the group is focusing on its strongest heritage brands to stabilize earnings — leaving experimental ventures like Fenty outside the current strategic focus.
Despite the setback, Rihanna’s business portfolio remains strong. Her Fenty Beauty and Fenty Skin brands continue to perform well globally, with Fenty Beauty maintaining its position as one of the most successful celebrity beauty lines in the world.
The beauty brand, which launched in 2017 with LVMH’s Kendo division, revolutionized the industry through its focus on inclusivity and shade diversity — an approach that continues to define the brand’s identity.
Her lingerie label, Savage X Fenty, has also expanded into new retail territories and remains profitable. Industry observers note that while the closure of the fashion house is a financial hit, it doesn’t significantly alter Rihanna’s long-term business standing or billionaire status.
Industry analysts point out that the collapse of the Fenty fashion house had as much to do with timing as with execution.
LVMH’s luxury structure — built around heritage and craftsmanship — was a difficult fit for a brand rooted in pop culture and digital immediacy.
Even so, Rihanna’s entrance into the world of high fashion is credited with opening the door for more inclusive representation and diversity in the industry — achievements that extend beyond commercial success.