FTC Preparing Objections to Tapestry’s Capri Deal, NYT Says

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US regulators are preparing to block fashion company Tapestry Inc.'s $8.5 billion takeover of Capri Holdings Ltd., according to the New York Times. The Federal Trade Commission (FTC) is expected to discuss the case this week and may decide to file a lawsuit. The potential lawsuit could prevent the creation of a US-based luxury conglomerate to compete with European fashion companies. Tapestry sells luxury goods under the Coach, Kate Spade, and Stuart Weitzman brands, while Capri controls high-end labels Michael Kors, Versace, and Jimmy Choo. The combined companies would be the fourth-largest luxury company in the world and second-largest in the Americas. Capri's stock price has fallen in recent trading sessions due to concerns that the FTC might block the deal. Shares of Tapestry rose 1.9% before US markets opened, while Capri's fell 2.5%.

#Ftc #Tapestry #CapriHoldings #LuxuryGoods #FashionCompanies

https://finance.yahoo.com/news/ftc-preparing-objections-tapestry-capri-114434818.html