In more label trading news, Phillips-Van Heusen (PVH), owner of the Calvin Klein label, has announced its plan to purchase the Tommy Hilfiger brand. Although the owners are changing, Hilfiger will still maintain his role as principal designer for his namesake clothing brand.
The proposed acquisition is the biggest announced by a U.S. clothing retailer or manufacturer in the past 10 years. The deal will only cost a measly $2.6 billion in cash, and $380 million in common stock. Wow.
With admired lines like Christian Lacroix going under and Bulgari and Prada reporting staggering debts, who could have thought Hilfiger was worth that much?
– Alexa P Gray