New York, New York–(Newsfile Corp. – December 29, 2024) – A Leading Securities Law Firm Blishmar Fonte & Old LLP announces the filing of a lawsuit against Capri Holdings Limited (NYSE:NYSE:), Tapestry (NYSE:), Inc., and certain senior executives of Capri and Tapestry for potential violations of the federal securities laws.
If you invest in Capri, we encourage you to do so Get additional information by visiting https://www.bfalaw.com/cases-investigations/capri-holdings-limited.
Investors have until February 21, 2025 to ask the court to appoint them to lead the case. The Complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Capri shares or sold Capri shares. The case is pending in the U.S. District Court for the District of Delaware and has been stayed Horwitz v. Capri Holdings LLC, et al.No. 24-C-1410.
Why was Capri prosecuted for securities fraud?
Capri is a fashion company that owns several fashion brands, such as Michael Kors. Tapestry is also a fashion company, and owns fashion brands including trainer And Kate Spade. On August 10, 2023, Capri and Tapestry jointly announced that Tapestry would purchase Capri for $57 per share in cash.
During the relevant period, Capri and Tapestry stated that the acquisition would not stifle competition, and that they expected to obtain antitrust approval for the acquisition and to close the transaction in 2024.
On April 22, 2024, the FTC filed suit to block the acquisition due to its anticompetitive effects. However, Capri and Tapestry strongly disputed the FTC's allegations and insisted that the acquisition would be “pro-consumer” and would have no negative effects on competition.
Stocks decline as truth is revealed
On October 24, 2024, the court granted the FTC's request for a preliminary injunction and blocked the acquisition of Capri. In its order, the court cited hundreds of pages of internal documents revealing that the defendants secretly understood that their brands were close competitors within the well-defined “accessible luxury handbag market” and that the Capri acquisition would reduce competition. According to the court, the defendants' statements to the investing public were disproportionate to the “commercial realities” that the defendants themselves had a keen understanding of.
On this news, Capri's stock price fell approximately 50%, from a closing price of $41.60 per share on October 24, 2024 to $21.26 per share on October 25, 2024.
Click here if you suffer losses: https://www.bfalaw.com/cases-investigations/capri-holdings-limited.
What can you do?
If you invest in Capri, you may have legal options and we advise you to provide your information to the company.
All representation is done on a contingency fee basis, at no cost to you. Shareholders bear no responsibility for any court costs or litigation expenses. The Company will seek court approval for any potential fees and expenses.
Submit your information by visiting:
https://www.bfalaw.com/cases-investigations/capri-holdings-limited
Why Blichmar Fonti & Old Co., Ltd.?
Bleichmar Fonti & Auld LLP is a leading international law firm that represents plaintiffs in securities class actions and shareholder lawsuits. It is ranked a Top 5 Law Firm for Plaintiffs by ISS SCAS in 2023 and its attorneys have been named Titans of the Plaintiffs' Bar by Law360 and SuperLawyers by Thompson Reuters. Among its recent notable successes, BFA has recovered over $900 million in value from Tesla's (NASDAQ:) board (pending court approval), as well as $420 million from Teva Pharmaceuticals (NYSE:) Ind. . Ltd.
For more information about BFA and its attorneys, please visit https://www.bfalaw.com.
https://www.bfalaw.com/cases-investigations/capri-holdings-limited
Lawyer advertisement. Past results do not guarantee future results.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/235318
