LVMH: won't be able to buy Tiffany after all
(CercleFinance.com) - LVMH's Board of Directors has met to review the investment situation on Tiffany & Co in light of recent developments.
A string of events is likely to weaken the deal, LVMH says.
LVMH said that its Board has taken note of a letter from the Minister for Europe and Foreign Affairs which, in reaction to the threat of taxes on French products, formulated by the United States, asks the LVMH group to defer the acquisition of Tiffany beyond 6 January 2021
The Board also notes Tiffany's request to extend the deadline for completion of the agreement from 24 November 2020 to 31 December 2020.
In the light of these elements, and having taken note of the initial legal analyses carried out by LVMH, the Board of Directors has decided to abide by the terms of the Agreement and Plan of Merger concluded in November 2019, which provides for a deadline for the closing of the transaction no later than 24 November 2020, and noted that, as things stand, the LVMH Group would therefore not be in a position to complete the acquisition of Tiffany & Co.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
A string of events is likely to weaken the deal, LVMH says.
LVMH said that its Board has taken note of a letter from the Minister for Europe and Foreign Affairs which, in reaction to the threat of taxes on French products, formulated by the United States, asks the LVMH group to defer the acquisition of Tiffany beyond 6 January 2021
The Board also notes Tiffany's request to extend the deadline for completion of the agreement from 24 November 2020 to 31 December 2020.
In the light of these elements, and having taken note of the initial legal analyses carried out by LVMH, the Board of Directors has decided to abide by the terms of the Agreement and Plan of Merger concluded in November 2019, which provides for a deadline for the closing of the transaction no later than 24 November 2020, and noted that, as things stand, the LVMH Group would therefore not be in a position to complete the acquisition of Tiffany & Co.
Copyright (c) 2020 CercleFinance.com. All rights reserved.