Coach, Inc., has completed its acquisition of Stuart Weitzman Holdings LLC, a designer and manufacturer of women’s luxury footwear. Coach purchased the brand from private equity firm Sycamore Partners in an effort to accelerate its global position in the premium handbags and accessories market.
At the closing, Coach paid $530 million in cash, and will potentially pay an additional $44 million if the brand meets selected revenue targets over the next three years.
Stuart Weitzman also will provide Coach with additional profit. With presence in specialty and department stores worldwide, as well as its own retail stores in U.S. and Europe, Stuart Weitzman realized net revenue of $313 million for the 2014 fiscal year.
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Designer and founder Stuart Weitzman will continue to act as Creative Director and Executive Chairman of Stuart Weitzman Holdings LLC. In fact, the entire management team, including CEO Wayne Kulkin, will remain intact to help the business continue on its road to growth.
