LVMH have officially bought out Tiffany. The luxury giant, led by Bernard Arnault, issued a press release, in the morning, to announce the deal and make it public: “Companies have reached an agreement finally”.
The terms of the deal
LVMH are about to acquire Tiffany at 135 dollars per share. Overall, the transaction deal is worth 16.2 billion dollars. In other words, around 14.7 billion euros. The closing of the deal is due by mid-2020: of course, it will be subject to a few preliminary stages, among which the endorsement on the part of Tiffany’s shareholders.
A strategic choice
“Tiffany acquisition will undoubtedly strengthen LVMH role in the jewellery and luxury accessory segments. Likewise, it will further enhance its business in the United States”, pointed out the luxury group. “We are happy to offer a warm welcome to Tiffany, a company that may well rely on off the charts assets alongside a unique market position – commented Arnault –. We highly regard Tiffany and look up to it a great deal. We are planning to develop such jewel by putting in strong diligence and commitment, as much as we did with regard to each fashion house of the group. We will be proud to have Tiffany sit alongside our iconic brands and look forward to ensuring that Tiffany continues to thrive for centuries to come”.