The world's largest luxury goods corporation, LVMH, is buying US-based Tiffany & Co for over €14.5bn ($16bn).
Jeweller Tiffany & Co shot to fame in 1961 when it was featured in the Audrey Hepburn film Breakfast at Tiffany’s.
The deal between the two luxury companies will see LVMH’s billionaire owner Bernard Arnault gain a slice of a fast-growing sector within the luxury goods market.
He remarked that Tiffany’s brand fits in line with LMVH’s brands, such as Louis Vuitton and Bulgari. The giant jewellery company has however suffered declining sales, in part due to lower spending by tourists and a strong US dollar.
Tiffany’s flagship store in New York, located next door to Trump Tower on 5th Avenue, has been called an institution within the city. It was founded in 1837 and employs over 14,000 people operating roughly 300 stores.
LMVH owner Mr Arnault has reportedly coveted purchasing Tiffany & Co for some time. LVMH currently owns 75 brans, employs some 156,000 and has a network of over 4,590 stores. Brands owned by the mammoth luxury good company include Louis Vuitton, Kenzo, Tag Heuer, Dom Perignon, Moet & Chandon, and Christian Dior.