June 08, 20 by John Jeffay
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(IDEX Online) - French luxury conglomerate LVMH is now expected to go ahead as planned with its $16.2bn acquisition of US jeweler Tiffany & Co, after days of fevered speculation.

Reports in the fashion Bible Women's Wear Daily (WWD) suggested late last week that LVMH Moët Hennessy Louis Vuitton could use COVID-19 and the George Floyd aftermath to negotiate down a price agreed last November.

But current indications are that LVMH has been deterred by legal hurdles from seeking a discount.

LVMH chief executive Bernard Arnault had reportedly been seeking ways to lower Tiffany's cash price of $135-a-share.

The proposed deal would help consolidate LVMH's position in hard luxury -  high-end jewelry and timepieces - following its acquisition of the Italian watchmaker Bulgari for $5.2bn in 2011.

New York-based Tiffany reported a $4.4bn of sales for last year, matching its record high in 2018.

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