Michael Kors on Tuesday said it has agreed to acquire upscale shoemaker Jimmy Choo for 896 million pounds, or about USD 1.2 billion.
The latest push by the American luxury company comes in its pursuit to find sources of growth in an increasingly competitive retail landscape, reported New York Times.
"We believe that Jimmy Choo is poised for meaningful growth in the future. We are committed to supporting the strong brand equity that Jimmy Choo has built over the last 20 years," John D Idol, the Michael Kors chairman and chief executive, said in a statement.
Jimmy Choo was founded in 1996 by Tamara Mellon, then accessories editor at British Vogue, and the Malaysian cobbler Jimmy Choo.
The brand shot to fame thanks to a slew of celebrity patrons, including Diana, the Princess of Wales, and actress Sarah Jessica Parker, who embraced its signature sky-high stilettos.
Michael Kors said it expected to open new Jimmy Choo retail stores and develop the brand's online presence, and to expand the assortment of its fashion offerings.
Jimmy Choo put itself up for sale in April as the Reimann family, the German consumer goods billionaires who had owned it, looked to reduce their luxury holdings.
Jimmy Choo will still operate under its existing management team, including the chief executive, Pierre Denis. It has more than 150 stand-alone stores as well as a presence in many of the world's top department stores.
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