Will LVMH Acquire Coach?

Coach Inc. and LVMH
Sittin' in a tree
M-E-R-G-I-N-G?

According to a report from WWD, that's the speculation going around the retail industry:
LVMH will have their 2008 Annual Results Presentation on Feb. 5th, so stay tuned......

More than 13,800 Coach Inc. calls changed hands on Friday, fueled by rumors that French luxury goods conglomerate LVMH Moët Hennessy Louis Vuitton might acquire the luxury accessories marketer, according to OptionsMonster. Typical volume for Coach calls is 2,500 contracts. A Coach spokeswoman said, “The company doesn’t comment on market rumors.” LVMH executives declined comment as well. Although Coach has been the target of mergers talks in the past, market sources noted the firm, founded in 1941, has a long history of preferring to remain independent. Shares of Coach ended Friday’s session at $14.06 in heavier than average trading of 10.8 million shares, compared with average daily volume of 7.3 million shares.

UPDATE 2/4/09:

WWD.com reports that LVMH have denied any interest in acquiring Coach, Inc.:

LVMH Moët Hennessy Louis Vuitton has squelched speculation the French luxury giant could acquire Coach, as a spokesman officially denied any interest in the American accessories marketer.

As reported, more than 13,800 Coach Inc. calls changed hands last Friday, fueled by takeover rumors. Typical volume for Coach calls is 2,500 contracts.

The denial comes a few days before LVMH is set to report its 2008 results at a press conference in Paris on Thursday.