Michael Kors acquires Jimmy Choo for £900 million
They're adored by the A-list and fashion editors alike, regularly seen gracing wedding aisles, magazine pages and Hollywood red carpets, and are arguably one of the most famous footwear labels in the world - so it comes as little surprise to discover that Jimmy Choo shoes are worth a fair bit. Almost £900 million, to be precise.
Michael Kors Holdings Ltd has acquired Jimmy Choo Plc for around £896 million - paying £2.30 per share for the luxury shoemaker. The boards of both companies confirmed the news on Tuesday, reports Business of Fashion.
Jimmy Choo was purchased by JAB Holding Co. for approximately £500 million in 2011. The investment company sold a minority stake in 2014, but remained the majority owner until selling to Kors this week.
But what will this mean for fans of the brand's stiletto heels, glittering clutch bags and feminine fragrances? Well, as with any major change at any company, a slight restructuring can probably be expected, but Michael Kors has said that it plans to keep Jimmy Choo's existing management team, lead by CEO Pierre Denis. Presumably that also extends to creative director Sandra Choi.
While Jimmy Choo is renowned for its high-octane sex appeal, towering - and often, impractical - heels and sparkling, uber-glamorous accessories, Michael Kors has a somewhat more subtle, girl-next-door aesthetic - think pretty cocktail dresses, neat tailoring and layerable daywear - and is arguably one of the market leaders in mid-range bags and watches. We look forward to seeing what the two companies cook up together.
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