Regulators Approve the LVMH-Tiffany Deal that isn't a Deal
October 27, 20
(IDEX Online) - The deal for LVMH to buy Tiffany & Co may be off - but it's still been officially approved by regulators.
The French luxury conglomerate pulled of its $16.2bn acquisition in a shock move in September that has left both sides locked in a bitter legal battle.
But on Monday the European Commission said all the regulatory approvals to prevent a monopoly were in place.
It's a curious twist - possibly the first time a potential buyer has been disappointed that their purchase has been approved. Rejection may have given LVMH a convenient way out.
Both sides will meet in January for a four-day hearing at court in Delaware, USA, when the New York-based jeweler will try to compel LVMH to go ahead with the acquisition.
LVMH pulled out of its delayed purchase, citing pressure from the French government over a tariffs war with the US and saying the deal was "no longer possible". Tiffany insists LVMH is in clear breach of its obligations.