G-III Apparel Group acquired fashion company Donna Karan, previously owned by luxury group LVMH. Now, it will become the property of a company which owns the licenses to brands like Calvin Klein and Tommy Hilfiger.
G-III Apparel Group apparently paid 650 million dollars (600 million euro). LVMH had made it clear it was willing to sell Donna Karan, as its popularity had dropped for the past several years. It also makes it more likely that LVMH will soon reveal a plan in which it will buy back 1 billion dollars' worth (910 million euro) of shares.
"When G-III approached us about acquiring the brand, we concluded that the time was right,” Toni Belloni, managing director of LVMH, said. Founder Donna Karan already left the fashion label last year and Maxwell Osborne and Dao-Yi Chow handled her responsibilities ever since. However, both were unable to bring the brand's former popularity back.