MILAN, July 30 (Reuters) - Italian luxury group

Ermenegildo Zegna ( ZGN ) reported a 2.6% drop in second-quarter

organic revenues on Wednesday as sales in its wholesale channel

sank, especially for the smaller Thom Browne brand, and with

weakness in the Chinese market.

Organic revenue totalled 469 million euros ($541 million)

for the April-June quarter, broadly in line with an analyst

consensus provided by Visible Alpha.

Sales in the period were dragged down by a 17% drop in the

Greater China region. The stronger euro also impacted the

revenues.

The decline in the wholesale performance in part reflects a

decision to shift the focus away from this part of the business.

"Our strategic initiatives and actions taken are yielding

results, even though the sector navigates a continuously

challenging environment", Chairman and CEO Gildo Zegna said in a

statement.

The group also announced that Sam Lobban, who had been

working at department store group Nordstrom, will be Thom

Browne's new CEO as Rodrigo Bazan stepped down after nine years

to "pursue other opportunities".

Singapore's state investment firm Temasek agreed on Tuesday

to increase its stake in Ermenegildo Zegna Group to 10%.

Zegna said that the $126 million proceeds would strengthen

its financial position and enable it to seize any opportunities

that arise.

($1 = 0.8665 euros)