Luxury fashion houses Versace, Jimmy Choo and Michael Kors have new owners

Coach's parent company is buying Capri Holdings in an effort to create the most powerful luxury fashion group in the US.

Tapestry Inc. is set to acquire Capri Holdings in a deal worth about $8.5 billion, according to Business of Fashion. The acquisition will combine Coach, Kate Spade and Stuart Weitzman with Versace, Jimmy Choo and Michael Kors under one roof, creating a $12 billion American fashion conglomerate.

The deal, which comes after years of negotiations between the two companies, marks a major step forward in the US’s efforts to build a powerful holding company like LVMH Moët Hennessy Louis Vuitton or Europe’s Kering. However, the US fashion group remains massively short of cash; in 2022, Kering reported revenue of €20.35 billion and LVMH reported revenue of €79.2 billion.

In the past, American fashion companies have tried to expand their portfolios separately. In 2017, Tapestry (formerly Coach Inc.) bought Kate Spade for $2.4 billion. That same year, Capri (formerly Michael Kors) bought Jimmy Choo for $1.2 billion. In 2018, Capri bought Versace for $2.12 billion. Their alliance, under the Tapestry name, marks their biggest move to date.

Tapestry, which will operate with more than 33,000 employees in 75 countries, could now cut $200 million in operating costs. The acquisition will expand the group’s stake in the luxury category with Versace and Jimmy Choo, and will boost the combined company’s more accessible offerings, such as Coach and Michael Kors.

Hoai Huong (according to 24h.com.vn)

Source: https://baovinhphuc.com.vn/Multimedia/Images/Id/97933/Hang-thoi-trang-xa-xi-Versace-Jimmy-Choo-va-Michael-Kors-co-chu-nhan-moi