LVMH and Ruffini Partecipazioni Holding have agreed not to increase their stake in Moncler to more than 20% in the next three years after the French luxury giant invested in the Italian outerwear company.

Last week the companies announced that LVMH purchased a 10% stake in Double R, the investment vehicle controlled by the CEO’s Ruffini Partecipazioni Holding, which currently has a 15.8% stake in Moncler.

Under a three-year shareholders’ pact published overnight, if Ruffini Partecipazioni Holding decides to sell its stake in Double R, LVMH will have priority for a possible purchase and vice versa.

“We believe that the shareholder agreements confirm the absolute independence of the Moncler board,” Italian broker Equita said in its daily notes.

The pact can be renewed for a further three years.