On Monday, luxury goods maker Coach announced that it would buy the brand, Kate Spade, at a cost of $ 18.5 per share, for about $ 2.4 billion. Coach said the company will save $ 50 million in operating costs in three years and the deal is expected to be completed in the third quarter of this year.

Earlier this month, Coach reported third quarter earnings in fiscal year 2013, with sales down 4% year-on-year and net profit rose nearly 9% to $ 122 million in the three months ended April 1, CEO Victor Luis pointed out that Coach is ready to continue to develop into a global multi-brand company

In recent years, Coach has been expanding the size of the group, continue to seek to bid for footwear, accessories and other brands. US media Axios quoted analysts as saying that Coach’s next goal could be Jimmy Choo or Burburry.

Year-to-date, Coach has been rumored with Kate Spade, Jimmy Choo and Bally. Last week, the media quoted market sources said, Coach consider bidding Jimmy Choo, the transaction price may reach 1 billion pounds. Coach will also have served as Jimmy Choo CEO Joshua Schulman recently as the brand chief executive.

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