PHILADELPHIA, Feb. 17, 2025 (GLOBE NEWSWIRE) -- Berger Montague PC advises investors that a securities class action lawsuit has been filed against Capri Holdings Limited (“Capri” or the “Company”) (NYSE: CPRI) on behalf of purchasers of Capri securities between August 10, 2023 through October 24, 2024, inclusive (the “Class Period”).
Investor Deadline: Investors who purchased or acquired CAPRI securities during the Class Period may, no later than FEBRUARY 21, 2025, seek to be appointed as a lead plaintiff representative of the class. To learn your rights, CLICK HERE.
Capri is a UK-based market of apparel and accessories. It owns several fashion brands, such as Michael Kors, which manufactures and sells handbags, among other things. Tapestry, Inc. is also a fashion firm, and it owns fashion brands such as Coach and Kate Spade.
On August 10, 2023, Capri and Tapestry announced that they had entered into a merger agreement whereby Tapestry would purchase Capri for $57 per share in cash. The Capri acquisition would combine three close competitors: Tapestry’s Coach and Kate Spade brands and Capri’s Michael Kors brand.
According to the class action lawsuit, defendants failed to disclose that a primary internal rationale for the Capri acquisition was to consolidate brands within the accessible luxury handbag market so as to reduce competition, increase prices, improve profit margins, and reduce consumer choice within that market. As a result, the risk of adverse regulatory action against the proposed merger was higher than represented.
On October 24, 2024, following a seven-day hearing, Judge Jennifer L. Rochon of the U.S. District Court for the Southern District of New York granted the U.S. Federal Trade Commission’s motion to preliminarily enjoin the Capri acquisition. In doing so, the court determined, among other things, that a “substantial body of compelling evidence” showed that, in contrast to their public statements, defendants believed that their brands were direct competitors in a well-defined “accessible luxury handbag market.”
On news, the price of Capri shares fell from $41.60 per share on October 24, 2024 to a closing price of $21.26 per share on October 26, 2024, a drop of $20.34 per share, nearly 50%.
To learn your rights or for more information, CLICK HERE or please contact Berger Montague: Andrew Abramowitz at aabramowitz@bm.net or (215) 875-3015, or Peter Hamner at phamner@bm.net.
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the Court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.
Berger Montague, with offices in Philadelphia, Minneapolis, Delaware, Washington, D.C., San Diego, San Francisco and Chicago, has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for over five decades and serves as lead counsel in courts throughout the United States.
Contact:
Andrew Abramowitz, Senior Counsel
Berger Montague
(215) 875-3015
aabramowitz@bm.net
Peter Hamner
Berger Montague PC
phamner@bm.net
