Federal Court Blocks Tapestry-Capri Merger Amid FTC Concerns

A federal court ruling has blocked the $8.5 billion merger between Tapestry, owner of Coach, and Capri Holdings, parent of Michael Kors. Judge Jennifer Rochon’s decision, prompted by the FTC’s concerns over consumer impact, has led to a 10% rise in Tapestry’s stock while Capri’s shares plummeted by 50%. As Tapestry plans to appeal, the ruling raises critical questions about competition and market dynamics in the luxury fashion industry.