Phillips-Van Heusen announced plans Â to buy Tommy Hilfiger, which is controlled by private equity firm Apax Partners, for roughly $3 billion in cash and stock.
The combination would create one of the largest apparel makers in the world, with estimated global revenue of $4.6 billion, the companies said in a statement.
Phillips-Van Heusen, which owns Calvin Klein and IZOD, said it expects the purchase to boost earnings before it realizes one-time costs and accounting charges related to the deal.
Under the terms of the deal, Phillips-Van Heusen, Â will pay Apex â‚¬1.9 billion in cash and â‚¬276 million worth of PVH common stock. PVH will assume â‚¬100 million in Tommy Hilfiger’s debt.