Nov 24, 2019

Report: LVMH agrees to buy Tiffany & Co. for $18.5 billion

Dan Primack, author of Pro Rata

Photo: Nicolas Economou/NurPhoto via Getty Images

France's LVMH has agreed to buy U.S. luxury jeweler Tiffany & Co. for around $18.5 billion, or $135 per share, according to CNBC's David Faber.

Why it matters: This deal is largely about trade war opportunism, as Tiffany has been hammered by decreased Chinese tourism to the U.S. It's tried to offset that by opening more stores within China, but it's been hampered there by new Chinese tariffs on U.S.-made jewelry.

The bottom line: The $135 per share price is a massive premium to where Tiffany was trading last month before LVMH publicly acknowledged its takeover interest, and even an 8% bump from where Tiffany shares closed on Friday.

  • Early expectations were that the takeover price would be closer to $120 per share.
  • It gives Tiffany an equity value of around $16.3 billion, while LVMH also would assume around $2.5 billion of existing tiffany debt.
  • Faber reports that Tiffany's board is expected to vote on the deal later today.

Go deeper

Deaths without consequences

Community organizations and activists demand police accountability at a rally in Grand Central Terminal to commemorate the 5-year anniversary of Mike Brown's death by Ferguson Police Officer Darren Wilson. Photo: Erik McGregor/Getty Images

Seven years after the launch of the Black Lives Matter movement, it's still rare for police officers to be charged in the deaths of African Americans — and even more rare for an officer to go to jail.

The big picture: The Minneapolis police officer who was captured on video kneeling on George Floyd's neck has been charged with third-degree murder and manslaughter — which is already a step beyond the consequences other police officers have faced. But it's no guarantee that he will face jail time.

Teenager killed after shots fired at protesters in Detroit

Detroit police during protests on Friday night. Photo: Matthew Hatcher/Getty Images

A 19-year-old man was killed on Friday night after shots were fired into a crowd of demonstrators in downtown Detroit who were protesting the death of George Floyd in Minneapolis police custody, per AP.

Details: The teenager was injured when shots were fired from an SUV about 11:30 p.m. and later died in hospital, reports MDN reports, which noted police were still looking for a suspect. Police said officers were not involved in the shooting, according to AP.

Go deeper: In photos: Protesters clash with police nationwide over George Floyd

Updated 7 hours ago - Politics & Policy

In photos: Protesters clash with police nationwide over George Floyd

Police officers grapple with protesters in Atlanta. Photo: Elijah Nouvelage/Getty Images

Police used tear gas, rubber bullets and pepper spray as the protests sparked by the killing of George Floyd spread nationwide on Friday evening.

The big picture: Police responded in force in cities ranging from Atlanta to Des Moines, Houston to Detroit, Milwaukee to D.C. and Denver to Louisville. In Los Angeles, police declared a stretch of downtown off limits, with Oakland issuing a similar warning.