Coach Acquires Stuart Weitzman

American accessories brand Coach has acquired shoe label Stuart Weitzman for $574 million,WWD reports. Weitzman - which was owned by Sycamore Partners and became an independant concern under Sycamore´s investment portfolio umbrella in April last year laying the groundwork for a potential buyout - is Coach's first acquisition and both parties are understandably delighted.

"In Coach, we have found a strategic partner that respects our culture, and offers the scale, resources and global business acumen to enable us to realise our full potential," Stuart Weitzman, creative director and executive chairman of the label that he founded, said. Victor Luis, chief executive officer of Coach, added: "Stuart Weitzman is a leading American luxury designer footwear brand with a solid growth trajectory and further significant domestic and international development potential."

Supermodel Status

So what's in it for both parties? Acquiring Weitzman will doubtless boost Coach, which, despite boasting a market capitalisation of more than $10 billion, has lost ground in the mid-market to brands including Tory Burch and Michael Kors. Enlisting former Loewe creative director Stuart Vevers to helm a move upmarket and develop the brand´s ready-to-wear offering is yet to bear financial fruit, and rumours began circulating last year that conglomerates including LVMH were eyeing the company

Weitzman had no shortage of suitors for the deal, but a link with Coach in particular will help bolster its growing accessories offering - bringing technical nous as well as financial support - and will integrate the footwear label with an already solidly international company, helping growth overseas.

And as for the customers? We can all look forward to some pretty pictures, since Weitzman's advertising campaigns - the recent stars of which have included Gisele Bündchen, Kate Moss, Dylan Penn and Poppy Delevingne - can only be made more eye-popping with greater investment.