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Monday, January 5, 2015

Coach nearing deal to purchase Stuart Weitzman -source, (NYSE: COH)

Accessories retailer Coach Inc is nearing a deal to purchase privately held women's luxury shoe company Stuart Weitzman Holdings LLC for about $600 million, according to a person familiar with the matter. The deal could be announced as early as this week, the person said.New York-based Coach, known for its Poppy handbags, has struggled to keep up with its fast-growing affordable luxury competitors, particularly Kate Spade & Co and Michael Kors Holdings Ltd, whose handbags are rapidly gaining popularity in North America.Buyout firm Sycamore Partners acquired Stuart Weitzman last year as part of its $2.2 billion purchase of Jones Group Inc, the fashion company that owns retail chains Nine West and Jones New York.Stuart Weitzman operates 45 retail stores across the United States and also has 62 elsewhere.

Coach, Inc. (Coach) is a marketer of accessories and gifts for women and men. Shares of COH fell by 1.55% or $-0.58/share to $36.73. 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 4521379.