Paris/New York, Nov 25 (IANS): Leading luxury group LVMH Moët Hennessy Louis Vuitton (LVMH) that owns brands like Dior and TAG Heuer has entered into a definitive agreement with global luxury jeweller Tiffany to acquire it for $135 per share in cash.

The agreement has an equity value of approximately $16.2 billion (€14.7 billion).

The acquisition has been approved by both companies' boards. "The Tiffany Board of Directors recommends that Tiffany shareholders approve the transaction with LVMH," said the company board.

"The acquisition will strengthen LVMH's position in jewellery, and further increase its presence in the United States," the luxury group said in a statement. "The addition of Tiffany will transform LVMH's 'Watches & Jewelry' division and complement LVMH's 75 distinguished Houses," it said

As per the statement, the transaction is expected to close in the middle of 2020 and is subject to "customary closing conditions, including approval from Tiffany's shareholders and the receipt of regulatory approvals".

--IANS

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