September 7th, 2007

Merrill Lynch analyst: Could Harry Winston be spun off to IPO?

scarlett in Harry Winston at OscarsAn analyst at Merrill Lynch speculates about deals ripe in the Luxury sector. They feel that many luxury businesses, especially mid-sized, could be in play. I think he’s right. There’s a lot of competition and big players consolidating the smaller players. However I’m not sure why he put Harry Winston into the mix. They were just bought by Aber and seem to be a beautiful addition that creates a lot of synergy for the parent company.

The only scenario that makes sense to me is that Harry Winston could be spun off into an IPO of their own. But I don’t really see the need. They are already doing big things with Harry’s company and I don’t see how an IPO could help them.

Then again it’s been over 20 years since I obtained my Series 7 & 8 and have been away from Wall Street for awhile, so maybe I’m missing something…

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