A federal judge blocked Tapestry's acquisition of Capri on Thursday following a brief trial last month in New York. In her order, Judge Jennifer Rochon granted the Federal Trade Commission's motion for a preliminary injuction to block the proposed merger,

Capri Holdings (CPRI) shares plummeted 45% soon after the market opened Friday after a federal judge blocked Coach owner Tapestry's (TPR) $8.5 billion acquisition of the Versace and Michael Kors parent.

A federal court sides with the FTC, which argued that a Tapestry-Capri merger would raise prices for handbags.