US Sues to Block $8.5 Billion Union of Coach, Michael Kors
- FTC alleges Tapestry-Capri deal would harm luxury goods market
- Fashion accessories tie-up sought to compete with EU luxury
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The US Federal Trade Commission sued to stop Tapestry Inc.’s $8.5 billion takeover of rival Capri Holdings Ltd., marking the first time the Biden administration has used its aggressive antitrust enforcement to try to stop a deal in the fashion accessories sector.
Antitrust enforcers said Tapestry’s acquisition of Capri would raise prices on handbags and accessories in the affordable luxury sector, harming consumers. The FTC, which voted unanimously to block the deal, simultaneously filed complaints in its in-house and federal courts on Monday.