Michael Kors £896 million acquisition of Jimmy Choo

Overview:

• Michael Kors Holdings has acquired Jimmy Choo for £896 million.
• Jimmy Choo is a fashion brand and shoe and handbag manufacturer.
• The deal will see Michael Kors pay 230p a share, a premium of 18%. JAB Holding will sell its 68% stake, with the company looking to move into the food and beverage sector, according to Bloomberg.
• Michael Kors is a company listed on the NYSE and Jimmy Choo is listed on the LSE.
• Jimmy Choo will become a subsidiary of Michael Kors but will still be led by its own management team.
• Goldman Sachs and JPMorgan have acted as financial advisers for Michael Kors on the deal, while Merrill Lynch, Citigroup, Liberum and RBC Europe acted for Jimmy Choo.
• The deal follows a trend of acquisitions made by affordable luxury companies after Coach has acquired Kate Spade earlier this year.

Katrin Kostadinova - Data analyst