LVMH (Paris) has reportedly acquired Tiffany & Co. (New York) in a deal totaling $16.2 billion USD (a.k.a. $135 a share in cash). The deal was approved this past Sunday and the transaction will close mid-2020, which is “subject to approval from Tiffany’s shareholders and regulatory approvals,” according to CNBC.
The acquisition was in part due to Tiffany’s declining sales in both the U.S. and Asia; the retailer has endured declining profit and annual sales since 2015 before a “revenue turnaround in 2017,” CNBC reports.
LVMH reportedly said in a statement, “…the acquisition of Tiffany will strengthen LVMH’s position in jewelry and further increase its presence in the United States.”