Coach Inc will purchase women's luxury footwear company Stuart Weitzman Holdings LLC, as it looks to expand its high-end offerings to better compete with fast-growing rivals such as Michael Kors Holdings Ltd and Kate Spade & Co.Coach, known for its Poppy handbags, said it would buy Stuart Weitzman Holdings from private equity firm Sycamore Partners in a deal valued at up to $574 million.Analysts, however, called Coach's first ever acquisition unnecessary and distracting, saying the deal could shift its focus from fixing its core handbags business.Any distraction will complicate matters during a critical turnaround phase, Stifel Nicolaus analysts wrote in a note.
Coach, Inc. (Coach) is a marketer of accessories and gifts for women and men. Shares of COH fell by 1.01% or $-0.37/share to $36.36. In the past year, the shares have traded as low as $32.72 and as high as $56.59. On average, 4551650 shares of COH exchange hands on a given day and today's volume is recorded at 3444271.
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