Michael Kors Acquires Jimmy Choo

  1. Jeremy
  2. August 9, 2017 3:19 pm

Michael Kors Acquires Jimmy Choo

It’s happened! Michael Kors Holdings Ltd. has officially revealed that it will purchase Jimmy Choo Plc for a staggering £896 million (US$1.2 billion). Michael Kors bested numerous companies attempting to acquire the luxury accessories brand from previous holders JAB Luxury.

The huge deal will see Michael Kors buying the London-based designer of the iconic strappy stilettos, handbags and perfumes for 230 pence a share in cash, at a premium of 18% after Monday’s close.

The contract is projected to have a worth of over US$1.35 billion. Despite the deal, however, Michael Kors assured the world that Jimmy Choo’s current management team will remain in place. The current chief executive officer is Pierre Denis, who will remain on board. The boards of the two companies have both released statements to assure all that they’ve ratified this exciting business venture.

Jimmy Choo rose to fame at the end of the 20th century, when high-profile personalities such as the late Princess Diana wore the now-legendary strappy heels. The brand was then acquired by JAB Holding Co. for over £500 million in 2011.
Situated in Luxembourg, the private holdings company also owns Bally, Belstaffand, and, most recently, American donut chain Krispy Kreme. Held by the German billionaire family, Reimann, the company sold a stake in 2014, but is still the company’s majority owner with a 68 percent stake.

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