Francesco Risso will become creative director of the label.
The designer had most recently been freelancing after running his own label and working at Cerruti and Jack Wills.
Shares were up 6 percent after reports from Betaville blog said Coach is possibly merging with the British company.
The e-tail giant increased its earnings guidance for the second time this year.
Company’s second-quarter sales bounce due partly to U.K. shopping frenzy.