Phillips-Van Heusen buys Tommy Hilfiger
Apparel and sportswear firm Phillips Van Heusen is to acquire Tommy Hilfiger in a $3 billion deal that will combine two of the world’s biggest clothing retailers.
“This is a unique opportunity to bring together two premier companies, each with iconic brands,” Emanuel Chirico, PVH chief executive, said.
Mr Hilfiger will remain as “principal designer and visionary” for the brand and has described PVH as “the ideal partner to help us achieve our goals”.
PVH owns a broad brand portfolio including Calvin Klein, Izod, DKNY, Chaps, Arrow and Geoffrey Beene. Tommy Hilfiger has 1,000 stores globally and is projected to have revenues of $2.25 billion in 2010.
“Tommy Hilfiger fits all of our acquisition criteria: a strong brand, superior management, highly profitable, immediately accretive to earnings, and focused on international growth,” said Mr Chirico. “We also believe that our cultures are highly compatible.”
