PARIS — Shares LVMH Moët Hennessy Louis Vuitton slipped slightly Monday after the luxury giant confirmed it had made an approach to Tiffany & Co. regarding a potential takeover.
LVMH shares closed down 0.5 percent to 382.10 euros in Paris. But shares of Tiffany & Co. shot up 32.3 percent to $130.40 in New York.
“In light of recent market rumors, the LVMH Group confirms that it has held preliminary discussions regarding a possible transaction with Tiffany,” the company said early Monday in a statement.
“There can be no assurance that these discussions will result in any agreement,” it added.
Tiffany, in its own statement, acknowledged an offer from the luxury giant, and said it was reviewing the proposal for $120 per share in cash, noting it was an unsolicited, non-binding proposal.
“While the parties are not in discussions, Tiffany’s board of directors, consistent with its fiduciary responsibilities, is carefully reviewing the proposal, with the assistance of independent financial and legal advisors, to determine the course of action it believes is in the best interests of the company and its shareholders,” it said. Meanwhile, the company is pursuing its business plan with the goal becoming a “next generation luxury jeweler,” the American company added.
Centerview Partners
LVMH Shares Dip After Confirmation of Tiffany Talks
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