Capri stock surges on potential buyer interest report

Investing.com -- Capri Holdings (NYSE: CPRI) shares jumped 13% on Monday following a report that the luxury fashion company has been in contact with potential acquirers.

Women's Wear Daily reported that the handbag and accessories company has been in touch with would-be buyers who have reviewed its financial records. The stock posted its largest intraday gain since May 28.

The development comes after Capri's planned $8.5 billion acquisition by Tapestry fell through earlier this year when a U.S. federal judge blocked the deal on antitrust grounds. The Federal Trade Commission had argued the merger would reduce competition in the accessible luxury handbag market.

Capri owns luxury brands including Versace, Jimmy Choo, and Michael Kors. The company has faced challenges in recent quarters as consumer spending on luxury goods has softened amid economic uncertainty.

The report did not identify specific potential buyers or indicate how advanced any discussions might be. No official confirmation has been provided by Capri regarding the buyer interest.

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