LVMH has offered to buy Tiffany, known for its engagement rings and ties to Hollywood glamor, as the owner of Louis Vuitton and Bulgari seeks to expand in jewelry, one of the fastest-growing parts of the luxury goods market.

In a deal that would beef up its smallest business and give it a slice of the lucrative U.S. market, LVMH on Monday said it had approached Tiffany about an unsolicited non-binding offer, but gave no details.

Confirming the move, Tiffany said the offer was worth $120 per share, which would value Tiffany at nearly $14.5 billion and represents a 22% premium over the stock's closing price on Friday.

Investors piled into the New York-listed stock on the news, sending Tiffany shares up as much as 31% to one-year highs around $130 and putting them on track for their best daily performance since the 182-year-old company's market listing in 1987.

Several analysts said Tiffany might reject the offer to seek a higher price, potentially kicking off a battle for control of the company known for its signature robin's egg blue packaging.

LVMH said there was no guarantee that preliminary discussions would result in an agreement.

Analysts at Credit Suisse and Cowen said Tiffany could be worth as much as $140-$160 per share and UBS analysts estimate cash-rich LVMH has an M&A treasure chest of some 40 billion euros ($44.4 billion).