EssilorLuxottica SA said Meta Platforms Inc is planning to buy a stake in the world’s biggest eyewear maker, a deal which would see the US tech giant stepping up its push into smart glasses.

Chief executive officer Francesco Milleri made the comments about Meta’s interest during a call with analysts late on Thursday, after weeks of speculation about the Facebook owner’s plans. A spokesperson for Meta declined to comment.

EssilorLuxottica shares rose as much as 8.1% in Paris on Friday, the biggest increase in more than two years.

The two companies have already been working together for years, and presented their first Ray Ban-Meta smart glasses in 2021. A deal with EssilorLuxottica would mark a further push by Meta into the virtual and augmented reality market for smart glasses, while boosting the eyewear maker’s visibility and access to new markets and fresh capital.

“We are proud that a company that knows us very well, after years of partnership, is convinced that our company can grow and do much better in the future,” Milleri said.

Bloomberg reported earlier this month that Facebook is considering taking a stake of up to 5% in EssilorLuxottica.

Milleri added on Thursday that if the US firm decides to invest, it will have to buy shares on the market. He didn’t elaborate on the size of the stake Meta may buy and on the timing of the purchase. 

Other competitors are also active in the space: Snap Inc has been experimenting with mixed-reality spectacles for years while Apple Inc released the Vision Pro headset earlier this year.   

The world’s biggest manufacturer and retailer of eyewear posted adjusted net income of €1.75 billion in the first half, 10.6% higher compared to the same period last year. Revenues were in line with analysts’ forecasts at €13.3 billion. 

Performance in Europe, Middle East and Africa, where revenue jumped 7.9% in the second quarter compared to the same period a year prior, offset lower growth in North America, held back by a decline in comparable-store sales at Sunglass Hut, the company said in a statement on Thursday.

EssilorLuxottica and Meta have been cooperating on smart glasses for a few years. In 2021, Meta unveiled its first Ray-Ban smart glasses set on the Wayfarer frame to let users take photos and videos, listen to music and answer calls. Newer glasses incorporate MetaAI, an artificial intelligence (AI) assistant based on its Llama AI model.

  - Bloomberg