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Samsonite has Tumi in the bag

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By Euronews
Samsonite has Tumi in the bag

<p>Samsonite is buying Tumi. The world’s biggest bag maker will pay 1.6 billion euros to expand in the luxury luggage market.</p> <p><a href="https://en.wikipedia.org/wiki/Samsonite">Luxembourg-based Samsonite</a> plans to increase US firm Tumi’s presence in Asia and Europe and strengthen its North America business.</p> <p>The company has been on an acquisition spree partly to offset slowing growth in China, which accounts for about 10 percent of the Samsonite group’s worldwide sales.</p> <p>Investors liked the prospective savings through synergies from the all-cash deal which is to be financed with bank loans. </p> <p>“It is a perfect match in many aspects such as retail channels and regional mix, category mix and even price points,” said Boyoung Kim, an analyst at <span class="caps">BNP</span> Paribas.</p> <p>“It can bring huge synergies in the long term,” she added.</p> <p>Samsonite’s shares rose 1.05 percent on Friday in Hong Kong where they are traded.</p>