Phillips Van-Heusen to Buy Hilfiger for $3B
Updated from 12:07 a.m. EDT to include confirmation from Phillips-Van Heusen and Tommy Hilfiger of deal
NEW YORK (
) --
Phillips-Van Heusen
(PVH) - Get Report
signed a deal to acquire clothing company
Tommy Hilfiger
for roughly 2.2 billion euros ($3 billion), plus certain liabilities.
Phillips-Van Heusen will pay 1.924 billion euros in cash and 276 million euros in stock.
Phillips-Van Heusen is buying Hilfiger from private-equity firm Apax Partners. The transaction is expected to close during Phillips-Van Heusen's second quarter.
Word of a possible deal for
was reported last week.
Phillips Van-Heusen expects the transaction to be immediately accretive to earnings before one-time costs and accounting charges. It expects earnings accretion of 20 cents to 25 cents a share on a non-GAAP basis in the fiscal year ending Jan. 30, 2011.
Phillips-Van Heusen owns the Calvin Klein and Izod brands. It started producing last year dress shirts under license for Hilfiger.
-- Reported by Joseph Woelfel in New York.
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