Tommy Hilfiger, the luxury label, has been sold to Phillips-Van Heusen Corporation for €2.2bn (£2bn).
Fashion group Phillips-Van Heusen (PVH), which owns Calvin Klein, has agreed to buy Tommy Hilfiger from UK private equity group Apax Partners.
The acquisition will give PVH a combined turnover of $4.6bn (£4.2bn) at its businesses, which also include licences for luxury labels such as Kenneth Cole New York, BCBG Max Azria and Timberland.
Emanuel Chirico, chairman and chief executive of PVH, said: “This is a unique opportunity to bring together two premier companies, each with iconic brands, which will deliver enhanced opportunities for our stockholders, business partners, customers and employees as we leverage a combined global platform in the years ahead.”
He added: “During almost four years as a private company under the leadership of Fred Gehring and his team, Tommy Hilfiger has continued to gain momentum in Europe and Asia, while successfully rebuilding its business in North America, producing impressive overall performance, and generating strong profitability and free cash flow even during the recession.”
Gehring, chief executive of Tommy Hilfiger, added: “We are very pleased to be joining forces with PVH, one of the premier apparel companies in the world. The scale of the combined company in the US will deliver obvious benefits for both companies, while Tommy Hilfiger’s significant international presence and infrastructure offers an opportunity for PVH to introduce a number of its brands into the international market.”