Coach Agrees to Buy Kate Spade in $2.4 Billion Deal

Coach is acquiring Kate Spade for $2.4 billion, a deal in the making for three months. The acquisition aims to boost sales and expand Coach's brand portfolio, similar to European fashion conglomerates. Kate Spade's share price has fluctuated significantly, with the final deal price set at $18.50 per share. Coach expects $50 million in synergies, focusing on cost efficiencies and leveraging strategies that worked with their previous acquisition of Stuart Weitzman.

What synergies is Coach expecting to achieve from the acquisition?

How does Coach plan to manage costs after acquiring Kate Spade?