Deals
Kate Spade’s Position Weakens as Handbag Retailer Explores Sale
- Company posts first same-store sales decline since 2009
- Weak retail market could also put a damper on takeover price
People shop at a Kate Spade & Co. store in New York, U.S., on Sunday, February 28, 2016. Kate Spade & Co. is scheduled to release earnings figures on March 01.
Photographer: Michael Nagle/BloombergKate Spade & Co.’s first quarterly sales decline in almost eight years couldn’t have come at a worse time.
The New York-based handbag maker put itself up for sale in February and has attracted interest from high-end rivals Coach Inc. and Michael Kors Holdings Ltd., according to people familiar with the matter. The poor earnings report this week could weaken its bargaining power in an eventual sale.