The famous London brand of shoes and bags Jimmy Choo, very famous among celebrities, was bought by Michael Kors for 1,17 billions of dollars. The Malaysian designer's brand went on sale last April, when the majority shareholder, the German investment company Jab Luxury, decided to turn to mass-consumption products, abandoning luxury products.
The agreement signed on Monday provides that the US fashion house Michael Kors pays 230 cents in cash for each Jimmy Choo share, with a 36,5% premium compared to the price of the share prior to the announcement of the sale .
Jimmy Choo conquered the world scene in the late nineties, thanks also to the tow of illustrious buyers, such as the princess Diana. Fiction too Sex and the City helped the London brand in its expansion, with the protagonist Carrie Bradshaw who almost “adored” her Jimmy Choos.
Michael Kors has decided to complete the operation after the last few quarters have shown difficulties in terms of sales and visitors to the stores. The acquisition is part of an expansion strategy into womenswear and menswear casualwear, with a large investment also in the online business.
