Michael Kors buys Jimmy Choo for $1.6 billion
LONDON: US fashion brand Michael Kors yesterday agreed to buy British shoemaker to the stars Jimmy Choo for almost £900 million (S$1.6 billion).
Jimmy Choo - whose celebrity fans include Beyonce, Lady Gaga, Nicole Kidman and Kate Middleton - is the "ideal partner" for the US handbag and clothing maker, it said in a statement.
"The boards of directors of Michael Kors Holdings Limited and Jimmy Choo plc are pleased to announce that they have reached agreement on the terms of a recommended cash acquisition," it added.
The cash deal was pitched at 230 pence per share and values Jimmy Choo - which floated on the London Stock Exchange in 2014 - at about £896m.
"Michael Kors believes it is the ideal partner for Jimmy Choo and is well positioned to support Jimmy Choo's continued growth," it noted.
"Michael Kors intends to apply the experiences, infrastructure and capabilities that it has developed as a company over the course of its own worldwide growth as a luxury fashion brand to support the growth of Jimmy Choo."
The London-listed group, founded 20 years ago by Malaysia-born Jimmy Choo and British socialite Tamara Mellon, will retain its current management team, including chief executive Pierre Denis.- AFP