Financial sites around the globe are reporting that Oakley will be sold to the number one global eyewear maker the Luxottica Group. The boards of Luxottica Group and Oakley have singed a definitive merger agreement, the two companies said in a joint statement.
Athletes favour Oakley sunglasses, saying they can be worn in direct sunlight and punishing physical conditions without eye strain.
CEO Leonardo Del Vecchio said, "Significant changes in market dynamics require industry leaders to perfect a mix of best-in-class products and marketing with technical and operational capabilities."
The purchase compliments Luxottica's Ray-Ban, Chanel, Polo Ralph Lauren and Versace lines, among others. The company also said Oakley's Bright Eyes and Sunglass Icon stores will compliment its LensCrafters and Pearle Vision North Luxottica 21 06 2007 Chart Oakley Inc 21 06 2007 ChartAmerican retail chains.
Luxottica is about five times bigger by sales than its nearest rival, Safilo, and its market value is about nine times as large. The merger, expected to be closed by the second half of 2007, should generate some 100 mln eur of annual operating synergies within three years.
