Samsonite, the world’s biggest luggage maker, has agreed to buy luxury rival Tumi Holdings for $1.8 billion, or about Rs.12,100 crore. The acquisition of the US firm will help Samsonite get a stronghold in the higher-end business primarily for European and Asian markets, but the Luxembourg-based company is in no hurry to bring Tumi to India.
“The market for luxury bags is still very small in India and Tumi might not be relevant right now. But we will keep evaluating opportunity for Tumi as our own brand Black Label has met with limited success,” Samsonite global chief executive Ramesh Tainwala told ET. “Samsonite is still considered premium in India despite the brand being a mid-market one globally,” he said.Tumi’s luggage bags are priced at $500 and above, while Samsonite luggage sells at around $300 and its lower-end brand America Tourister costs $100 and below.