It is being reported that Wal-Mart is considering the acquisition of Tommy Hilfiger, which has been put up for auction, in an attempt to draw in more upscale customers and to make available a brand that has instant recognition with consumers.
Wal-Mart is believed to have initiated the idea of buying Tommy Hilfiger and is reported to be ready to start due diligence procedures as early as this week. Such a timetable could see a deal done before the end of November, according to a report on Women's Wear Daily.
The US supermarket giant has until now avoided buying brands or signing exclusive deals unlike rivals Target and Kmart where deals have been signed with the likes of Martha Stewart.
This latest speculation comes amid a time of uncertainty for the Tommy Hilfiger brand in the US. It came to prominence in the 1980s and enjoyed massive success in the 1990s, but the end of the decade signalled a drop in sales.
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