Tommy Hilfiger to acquire Karl Lagerfeld trademarks
Tommy Hilfiger Corporation and Karl Lagerfeld have announced an agreement under which Tommy Hilfiger Corporation will acquire the trademarks of Karl Lagerfeld, for an undisclosed cash amount. The transaction includes Lagerfeld Galleries and other Lagerfeld collections. In connection with the transaction, the parties have also entered into a long-term contract with Mr. Lagerfeld to continue to design and provide creative direction for Mr. Lagerfeld's brands. The acquisition does not include Mr. Lagerfeld's agreements with Chanel and Fendi.
Tommy Hilfiger Corporation designs, sources and markets men's and women's sportswear, jeanswear and childrenswear under the Tommy Hilfiger trademarks. The company also offers a broad array of related apparel, accessories, footwear, and fragrance. Karl Lagerfeld's business consists of the Lagerfeld Gallery, the women's luxury ready-to-wear collection, Lagerfeld, the licensed business for men's and women's and related accessories, as well as boutiques on the Left Bank in
Tommy Hilfiger Corporation and Mr. Lagerfeld plan to build Mr. Lagerfeld's brands on a worldwide basis. Their union is expected to draw upon the reputation of Mr Lagerfeld as one of the most successful fashion designers, and the experience and global infrastructure of Tommy Hilfiger Corporation. Mr. Lagerfeld's collections are currently in a start-up phase, and consist of a women's and a licensed men's collection. They are distributed within select European and Asian markets.
Subject to customary closing conditions, the acquisition is expected to be completed within the next 30 days.
