Coach buying luxury footwear brand Stuart Weitzman from Sycamore Partners for about $530M

MarketsAssociated Press

Luxury handbag and accessories company Coach is expanding its footwear collection, buying Stuart Weitzman Holdings LLC from private equity firm Sycamore Partners for about $530 million.

Coach Inc. will also make up to $44 million in contingent payments to Sycamore Partners if certain revenue targets are hit over the three years after the deal closes.

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Stuart Weitzman had approximately $300 million in revenue for the 12 months ended Sept. 30, 2014. The brand is currently available in 70 countries.

The transaction is expected to close by May.