Core Insights - EssilorLuxottica is negotiating to increase its stake in Nikon to approximately 20% from nearly 9% currently, having initially invested 5.1% in 2024 [1][3] - The partnership between Nikon and EssilorLuxottica has a long history, aimed at providing optical lenses to Japanese customers, and has been renewed in 2024 [3] - The discussions regarding the stake increase are still in early stages, and it is uncertain if the transaction will occur [3] Company Performance - EssilorLuxottica's recent half-year financial report highlights Nikon's significance in the Asia-Pacific region, particularly in the professional solutions business [4] - The report indicates that the growth in the lens business is driven by Nikon's rapid development, contributing significantly to the product range including single vision, progressive, and DOT myopia control [4] - Despite strong camera sales in 2024, Nikon's stock performance has been lackluster in 2025, with a reported decline of 11% prior to the news of EssilorLuxottica's potential stake increase, followed by a 21% surge in stock price after the announcement [4] Market Trends - EssilorLuxottica is expanding into the smart glasses market, with successful collaborations with Meta, including the second-generation Ray-Ban smart glasses, which saw sales more than double in the first half of 2025 [3] - Following the success of Ray-Ban smart glasses, new products like Oakley Meta glasses have also been launched [3]