PVH Corp to buy Warnaco Group for $2.9 bln

Wed Oct 31, 2012 4:36am EDT

Oct 31 (Reuters) - PVH Corp, which owns and markets Calvin Klein and Tommy Hilfiger brands, said it has agreed to buy clothing company The Warnaco Group Inc for about $2.9 billion in cash and stock.

PVH is offering Warnaco shareholders $51.75 in cash and 0.1822 of a share of PVH common stock for each Warnaco share.

Based on PVH's last closing stock price, the per share value of the deal is $68.43, a 34 percent premium over the last closing price of Warnaco common stock.

PVH said it has commitments for $4.33 billion in financing from Barclays, BofA Merrill Lynch and Citigroup Global Markets Inc.

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