Back in October, Coach was reportedly in talks to buy Burberry. Now it seems Burberry has rejected not one but several offers from the New York brand.
According to an article on The Financial Times, Burberry has rejected several offers from Coach to buy the brand. The market value of the deal would have apparently been more than $20 million. It would have brought both brands together as well as shoe maker Stuart Weitzman.
Offers and proposals made by Coach were informal and indicated a cash and stock takeover of the London luxury brand. It was, however, not known at what premium the offers were made or if the brand ever even spoke with Coach about the deal.
The companies are no longer in talks about the offers, though, and they are not expected to be any time soon. All the offers from Coach have been rejected.
The Financial Times also says that one of the people following the deals said Coach might have been more successful if it had made offers earlier in the year.
In October, UK based financial website reported rumors of $20 million deal between the two companies. Burberry, however, recently announced that it bought its own shares, implying the company wasn’t in formal takeover talks, according to The Fashion Law.
What’s more, Reuters reported that Burberry was not in talks about selling the brand, citing sources with knowledge of the deals. One of the sources said, “this is completely speculative. There are no negotiations underway, Burberry is not talking to Coach.” Another source said that such a deal would not be within either companies plans since they both pursue very different strategies.
Both Burberry and Coach have declined to comment.
So, what do you think? Did Coach offer to buy Burberry? Let me know in the comments below. Also, don’t forget to subscribe to get new posts sent directly to your inbox and follow me on Facebook, Instagram, and Snapchat.
Image Sources: (Featured Image)Got any tips? Send them to me here and it may be featured in a post! email@example.com