Capri Holdings and Tapestry mutually agreed to terminate their planned $8.5 billion merger following an FTC lawsuit that blocked the deal. The acquisition aimed to merge six luxury brands under one U.S.-based fashion powerhouse. Capri and Tapestry announced the termination was in both companies' best interests. Tapestry announced it will fund a $2 billion share repurchase program with cash freed from ending the Capri merger, stating it can grow independently. Capri will hold an analyst call on Thursday to outline growth strategies and plans to revitalize its struggling Michael Kors brand.
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00:00It's Benzinga, bringing Wall Street to Main Street.
00:02Capri Holdings and Tapestry mutually agreed to terminate their planned $8.5 billion merger
00:07following an FTC lawsuit that blocked the deal. The acquisition aimed to merge six luxury brands
00:13under one U.S.-based fashion powerhouse. Capri and Tapestry announced the termination
00:18as being in both companies' best interests. Tapestry announced it will fund a $2 billion
00:22share repurchase program with cash freed up from ending the Capri merger,
00:27stating it can grow independently. Capri will hold an analyst call on Thursday
00:31to outline growth strategies and plans to revitalize its struggling Michael Kors brand.