Luxury shoemaker, Jimmy Choo has been acquired by Michael Kors for a whopping $1.2billion (about 896 million pounds)
The London-based Jimmy Choo brand is known for its strappy stilettos, handbags and perfume and sells in cities from London to Paris, New York and Tokyo. It was put up for sale in April after its majority owner JAB signaled its intention to focus on consumer goods.
The Jimmy Choo brand rose to prominence in the late 1990s, boosted by high-profile devotees including the late Princess Diana and the fictional Carrie Bradshaw in television series “Sex and the City.” The deal comes amid consolidation in the luxury industry, with Michael Kors rival Coach Inc. agreeing to buy Kate Spade & Co. earlier this year.
Michael Kors Holdings said the acquisition was expected to deliver a number of benefits, including “the opportunity to grow Jimmy Choo sales to one billion” and “a more balanced portfolio with greater product diversification”.
It said Jimmy Choo would also have the opportunity to grow in the men’s luxury footwear category, as well as greater exposure to global markets, “particularly the fast-growing market in Asia”.