Capri and Tapestry Cancel Merger After FTC Intervention
Capri Holdings Ltd and Tapestry Inc. have abandoned their $8.5 billion merger plan after a court order, influenced by FTC objections, blocked the deal over competition concerns in the 'accessible luxury' handbag market. The decision led to a rise in Tapestry's stock and a partial recovery for Capri's shares. Capri, facing financial challenges, plans to focus on revitalizing its key brands, including Michael Kors, Versace, and Jimmy Choo, through strategic pricing, marketing, and store renovations.