TapestryNYSE: TPR

On Thursday, Tapestry, Inc. (TPR) announced that it has ended its merger agreement with Capri Holdings Limited (CPRI) due to uncertainties in the legal proceedings.

Tapestry has decided to call off its plan to buy Capri Holdings after both companies were unable to overcome the FTC's objections to the merger.

TPR has decided to withdraw from the merger with Capri and is now focusing on growing its business and increasing value for its shareholders.

On Thursday, key U.S. stock indexes fell after the recent Producer Price Index report showed that wholesale prices rose in October at the fastest pace in three months. Additionally, Fed Chair Jerome Powell mentioned that there is no rush to lower interest rates.

The Federal Trade Commission filed a lawsuit to prevent the agreement between the two high-end companies.

On Thursday morning, Tapestry Inc.'s stock rose by 6.8%, while Capri Holdings Inc.'s stock dropped by around 4%. This change happened after Tapestry announced that it is ending its $8.5 billion merger deal with Capri.

On Thursday, Tapestry announced that it is ending its $8.5 billion agreement to acquire Capri, the owner of Michael Kors, because a U.S. judge prevented the deal from going through.

TPR gained over a million new customers in the first quarter, mainly from Gen Z and Millennials, which led to impressive results. As a result, the company has increased its forecast for fiscal 2025.

Tapestry, Inc. (NYSE: TPR), which includes well-known brands like Coach, Kate Spade, and Stuart Weitzman, has announced its financial results for the first quarter ending September 28, 2024. CEO Joanne Crevoiserat stated that the results exceeded expectations, highlighting the brand's appeal and strong operations that support their growth strategy. She also praised the efforts of their skilled global teams in engaging consumers.