Co-founders of designer lifestyle label Tommy Hilfiger Joel Horowitz and Tommy Hilfiger could be set to invest in US luxury womenswear and accessories business Michael Kors as the company looks to sell off 25%.
Kors is reportedly looking to raise as much as $500m (£313m) to fund global expansion plans and has hired investment bank Morgan Stanley to sell of an equity stake of about 25%. It is predicted Kors may do a private placement followed by an IPO and it is estimated the company could be valued at over $2bn (£1.25bn).
Hilfiger is reported to have said: “Anybody would be crazy not to invest in it. Michael Kors is the next major global player in my eyes.”
Michael Kors was bought by Silas Chou and Lawrence Stroll in 2003 for a reported $100m. If Hilfiger and Horowitz were to invest in Kors it would reunite the four original investors in Tommy Hilfiger.
Hilfiger said: “For over 20 years, we’ve invested in things together. If they ask me, of course I’ll invest [in Kors].”