US retailer Michael Kors is set to buy luxury fashion house Jimmy Choo in a deal valued at £896 million ($1.2 billion approx). Jimmy Choo had on April 24 surprised its patrons by putting itself up on sale and while numerous brands are said to have expressed an interest in buying the British brand, it was snagged by Michael Kors on July 25.
Jimmy Choo was initially valued at about £700 million.
Michael Kors, known worldwide for its fabulous range of handbags, said that it has agreed to pay 230 pence in cash for each Jimmy Choo share and the latter's directors "consider the terms of the acquisition to be fair and reasonable," reported the Guardian.
Additionally, the US retailer has also explained that the said offer is "final and will not be increased" unless another party makes an offer.
Under the agreement, Jimmy Choo will be a wholly owned subsidiary of Michael Kors and will continue to function as it does now with the same management. However, its founder will no longer have a shareholding in the firm.
"Jimmy Choo is an iconic premier luxury brand that offers distinctive footwear, handbags and other accessories," Reuters quoted Michael Kors, honorary chairman and chief creative officer of his company Michael Kors Holding Ltd.
"We admire the glamorous style and trend-setting nature of Jimmy Choo designs. We look forward to welcoming Jimmy Choo to our luxury group."
Jimmy Choo was founded in 1996 by shoe designer Jimmy Choo and Vogue accessories editor Tamara Mellon. The British brand has an array of A-list patrons, including Nicole Kidman, Beyonce, Olivia Palermo, Julianne Moore, Reese Witherspoon, Halle Berry, Meryl Streep and many more.
And for those who weren't too familiar with the brand, there was Carrie Bradshaw from Sex and the City for help.
