Coach to Purchase Luxury Shoe Label Stuart Weitzman

Gisele Bundchen for Stuart Weitzman spring 2015

The acquisition is valued at up to $574 million

New year, new acquisition: Coach is buying luxury shoe label Stuart Weitzman Holdings LLC from its parent company, Sycamore Partners, both brands announced on Tuesday. Coach will pay around $530 million for the luxury shoe label, with an additional $44 million in contingent payments, depending on the meeting of certain revenue targets over the next three years after the acquisition closes.

"Importantly, the size, scope and vibrancy of the Stuart Weitzman brand, along with the continuity of its management team, allows for a seamless transition to Coach ownership as we continue to focus on Coach's brand transformation," said Coach CEO Victor Luis in a statement. "We look forward to advancing the Stuart Weitzman brand's global development, especially by leveraging Coach's international infrastructure and expertise in handbags and accessories."

With Stuart Weitzman's famous fans — Julia Restoin-Roitfeld recently filmed a campaign starring Dylan Penn and Poppy Delevingne, and Gisele Bundchen and Kate Moss have both appeared in past ads — perhaps this will help elevate Coach's brand and give it more star power.

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