Coach buys rival company Kate Spade

Posted at 5:51 PM, May 08, 2017
and last updated 2017-05-08 19:57:16-04

Coach is buying rival Kate Spade for more than $2 billion.

Coach's CEO said the deal will give the company a way to reach younger consumers and drive long-term sustainable growth. Coach said it will also keep the Kate Spade “brand," but will cut back online flash sales and wholesale offerings.

The deal comes after Coach's $500 million dollar purchase of Stuart Weitzman, a designer shoe company.