Tapestry and Capri Terminate $8.5B Merger Agreement

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Tapestry is now buying back more of its own stock while Capri is looking to revamp with Michael Kors store closures and more marketing.

parent Capri an enterprise value of $8.5 billion and put the company under the umbrella of Tapestry, which already owns Coach and Kate Spade.

Technically the deal was on pause pending a full trial, but that process would not wrap up before the Feb. 10 expiration of the merger contract. While Tapestry is seen as in a strong position to continue to drive Coach forward as it turns around Kate Spade, Capri is on shakier ground and has seen its business weaken dramatically since the deal was cut in August 2023.

Idol said the company has been focused on “brand desirability through exciting communication, compelling product and omni-channel consumer experience.” For its part, Tapestry said it would look to drive its organic growth and added $2 billion to its share repurchase plan.

 

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