Fifth & Pacific: Kate Spade will buy Japan venture

NEW YORK (AP) — Fifth & Pacific Cos. said Friday that its Kate Spade LLC brand is buying out the interest of its partner in a joint venture based in Japan.

Kate Spade will have full ownership of Kate Spade Japan Co. after it buys Sanei International Co.'s 51-percent stake in the business. Fifth & Pacific, which changed its name earlier this year after selling its Liz Claiborne business, said the deal is expected to cost $45 million to $50 million including debt repayment and transaction fees.

Fifth & Pacific said the deal should be completed during the fourth quarter assuming all closing conditions are met.

Shares of Fifth & Pacific rose 44 cents, or 4.6 percent, to $9.93 in afternoon trading. The company sold the Liz Claiborne brand and its Monet brand to J.C. Penney Co. in November, saying it planned to focus on the Kate Spade, Lucky Brand, and Juicy Couture businesses. It officially changed its name and its ticker symbol in May.