Coach has signed an agreement to acquire Stuart Weitzman in a deal valued at $574 million.
Women’s Wear Daily reports that the deal includes an initial cash payment of $530 million with up to $44 million to be paid over the next three years, pending revenue performance.
“Stuart Weitzman is a leading American luxury designer footwear brand with a solid growth trajectory and further significant domestic and international development potential,” Victor Luis, chief executive officer of Coach, told WWD.
Stuart Weitzman, creative director and executive chairman of Stuart Weitzman Holdings LLC, added: “In Coach, we have found a strategic partner that respects our culture and offers the scale, resources, and global business acumen to enable us to realize our full potential.”
Though Stuart Weitzman is known for its shoes, it also makes bags. Coach is known for its bags, but it also makes shoes and other accessories, including jewelry.