Continuing to cut the size of the Gucci Group NV bill coming due in April 2004, French retail giant Pinault-Printemps-Redoute said Friday that a PPR affiliate had acquired 2.95 million Gucci shares in a series of transactions that lifted PPR’s Gucci stake by 3 percent to 58.2 percent.
Also, PPR said it entered into a purchase plan with Credit Agricole Indosuez Cheuvreux to acquire up to 3 million more shares in Gucci in the coming months, which would lift its stake in the firm above 61 percent. CAIC is authorized to buy the shares on the New York and Euronext Amsterdam stock exchanges between Jan. 28 and April 4 of this year. The purchases can be made on even-numbered days only. U.S. purchases must be made at prices of $95.25 per share or less and only when the dollar-euro exchange rate is above $1.03 per euro. The strength of the euro adds to PPR’s savings in these transactions.
The maximum purchase price for shares bought in Amsterdam is 92.5 euros which, at Friday’s exchange rate of about $1.08 per euro, would be the equivalent of $100.29.
If PPR were to buy all 3 million Gucci shares at Friday’s closing price, it would have cost about $281.6 million. Gucci shares closed up 99 cents, or1.1 percent, at $93.85 Friday on the New York Stock Exchange as the equity markets closed the week on a decidedly sour note.
As reported, PPR has pledged to buy all shares of Gucci it doesn’t own in 2004 for $101.50 each. Any purchases made for less than that amount represent savings to PPR. For instance, PPR spent about $266 million for 2.77 million shares bought as part of its most recent purchases, $15.3 million less than they would have commanded as part of the April 2004 buyout.
The completed and planned transactions were reported in a Schedule 13D filed last week with the Securities and Exchange Commission and follow stock purchases that in recent months had raised PPR’s stake in Gucci to 55.2 percent.
Also Friday, in a move PPR characterized as unrelated, Gucci said it would buy back 3.5 million of its shares, or about 3.5 percent of its capital, between Jan. 27 and April 30. The company said it would temporarily hold the shares in its treasury, reissuing them to employees upon exercise of their stock options.At current market prices, the move would cost $328.5 million. Gucci said it would use its financial assets to fund the purchase.
EXCLUSIVE: @tomford is opening its first-ever beauty store. The boutique, which opens November 20 in London’s Covent Gardens, was designed with the over-the-top glam Ford is known for. Read the full story on WWD.com, link in bio. #wwdbeauty #wwdnews (📷: Simon Wagner) #TomFordBeauty
New York-based DJ @harleyvnewton threw a party to celebrate the holiday collection of her dress and pajama line @hvn at the Ladurée Beverly Hills. It Girls @katebosworth, @rashidajones and more joined in on the fun, which included cocktails, croque monsieur sandwiches and a photo booth. #wwdfashion (📷: Owen Kolasinski/BFA.com)
For the holidays, @Burberry partnered with 20-year-old artist @blondeymccoy on a series of three outdoor murals in downtown Manhattan. The murals are McCoy’s interpretation of a Christmas eve party, the idea of charity and the spirit of family. His third mural, pictured here, is the most personal. The image depicts McCoy’s grandparents and father in London’s Trafalgar Square in the Seventies. “My work often features lots of sentimental objects.” #wwdeye
For spring 2018, designers applied bold colors and cartoonish motifs on everything from sneakers and belts to key chains. See all the top men’s accessories trends on WWD.com. #wwdtrends (📷: George Chinsee; Prop Styling by @rnasti; Market Editor: @luiscampuzano)
The @dior-sponsored @guggenheim international gala pre-party has a history of drawing cool-girl musical acts to serenade the crowd –– and last night was no exception. @haimtheband performed songs both new and old, and lured a star-studded audience with the likes of Rebecca Hall, Kate Mara, Mamoudou Athie and more. #wwdeye (📷: @lexieblacklock)
In a partnership between the @metopera and the @englishnationalopera, “Marnie” was born. The opera, with costumes sponsored by @mrporterlive, is an adaptation of the 1961 thriller by Winston Graham. Arianne Phillips, who created the costumes, is no rookie: She’s styled Madonna for her tours and created costumes for a myriad of films in the past. Read WWD’s interview with Phillips, where she talks about her inspiration for the opera’s costumes on WWD.com #wwdfashion
@barneysnyc took a different approach to their holiday windows this year. Instead of Christmas decor, Barneys tapped @thehaasbrothers to tell a story of positivity, gratitude and inclusivity via heartwarming silliness and humor. “It’s about kids and it’s about coming together and being family and loving each other,” said Simon Haas. #wwdfashion (📷: @joshuascottphoto)
Beauty influencer @kandeejohnson makes her foray into hair care with a collaboration with @ogx_beauty — making it the first time that OGX has teamed up for a product creation. The collab includes shampoos and conditioners in three scents. At 39 and a mom, Johnson is a different profile than the emerging social media stars, but is considered one of the pioneers of the digital beauty influencer world. Read WWD’s interview with her on wwd.com, including the strangest beauty product she’s ever tried #wwdbeauty