Searchin’ for sole
Coach is seen eyeing Jimmy Choo
Handbag maker Coach is mulling a possible acquisition of the Jimmy Choo shoe brand that could be worth more than $1.3 billion, according to a report.
Last week, Jimmy Choo’s owner, Luxembourg-based conglomerate JAB, confirmed it is putting the luxury label on the block as it tightens its focus on its stable of coffee brands, which includes Peet’s Coffee & Tea, Caribou Coffee and Keurig Green Mountain.
Shares of Jimmy Choo — which rode to popularity in the late 1990s through its placement on “Sex and the City” — rose 1.3 percent on the London Stock Exchange Monday,
New York-based Coach “is scouring for luxury brands to buy following last year’s failed £20bn [$20.57 billion] tilt at British fashion house Burberry,” according to the London Telegraph, which reported Coach’s interest over the weekend.
Coach is on the hunt for luxury acquisitions following last year’s failed attempt to buy Burberry, a British fashion giant, according to the report.
The paper noted that Coach recently tapped Joshua Schulman, the former boss of Jimmy Choo, as chief executive of its brand, which could give Coach an advantage over rival suitors.
It wouldn’t be Coach’s first foray into the shoe business. The leathergoods maker also owns US shoe brand Stuart Weitzman, which is fronted by supermodel Gigi Hadid.
Coach also is vying with rival Michael Kors to buy Kate Spade — a deal that could complicate its Jimmy Choo aspirations, according to the paper.
The report, which cited bankers as sources, said Jimmy Choo was “unlikely to attract luxury houses such as Kering or LVMH, which have been working to streamline their businesses, rather than expand.”
Middle Eastern buyers including Qatar’s Mayhoola — which owns stakes in luxury businesses including Anya Hindmarch, Valentino and Balmain — are among other possible bidders, according to the report.