JAB Quits Luxury to Focus on Coffee, Coty, Consumer Goods

JAB Quits Luxury to Focus on Coffee, Coty, Consumer Goods
Natalie Theodosi
LONDON – Coty Inc. – and coffee beans – have shoved luxury off the shelf at JAB, the multinational giant that's announced plans to sell Jimmy Choo and Bally as it puts an increasing focus on consumer goods. The company, parent of consumer behemoths including Coty and Reckitt Benckiser, and coffee brands Espresso House, Baresso and Jacobs Douwe Egberts, unveiled its strategy on Monday in a terse statement that put an end to its decade-long foray into fashion and luxury. "JAB has made significant investments in coffee and related areas in recent years, and as a result, now considers its investment in luxury as non-core. JAB has therefore made the strategic decision to focus on its successful core businesses of consumer goods, including Coty, Inc." The company has set strategic reviews for Jimmy Choo and Bally and is looking for buyers for both, asking potential bidders to contact BofA Merrill Lynch or Citi. JAB, which took Jimmy Choo public in 2014, retains a 67.7 percent stake in the luxury footwear and accessories company. It said the Bally review process would begin shortly and finish in the second half of the calendar year, although it gave no timetable for Jimmy Choo. JAB said it would not comment further until

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