What To Know
- The deal is reported to close at the end of 2025 and is one of the largest fashion deals of the year.
- The Versace brand was founded in 1978 by Gianni Versace, who was famous for the bold style and a strong cultural identity that the brand still remains today.
- “We are happy to announce that Versace is joining the Prada Group, where we shall create a new chapter for a brand with whom we share the same passion for creative impulse, craftsmanship and heritage.
Prada Group’s acquisition of 100 percent of the iconic Italian brand Versace in return for $1.375 billion (€1.25 billion) in all cash is set to revolutionize the luxury fashion industry. Versace, which was made capable of running with its hallmark creative vision thanks to the agreement finalized with Capri Holdings, will rely on the extensive industrial and operational strength of Prada.
The deal is reported to close at the end of 2025 and is one of the largest fashion deals of the year. The Versace brand was founded in 1978 by Gianni Versace, who was famous for the bold style and a strong cultural identity that the brand still remains today.
Patrizio Bertelli, Chairman of Prada Group declared: “We are happy to announce that Versace is joining the Prada Group, where we shall create a new chapter for a brand with whom we share the same passion for creative impulse, craftsmanship and heritage.”
Bertelli then said the Group’s platform, the fruits of years of investment and retailing expertise, is positioned to help elevate Versace’s global prominence while maintaining its unrivalled aesthetic.
The announcement was well received by the market. Shares on the New York Stock Exchange rose 31.09% for Capri Holdings, while Prada shares rose 4.93% on the Hong Kong Stock Exchange.
Capri Holdings CEO John D. Idol said that ‘Versace is well positioned for sustainable long term growth with today’s move.’ “We believe Prada Group is the perfect place for it to flourish to achieve its next era of success.”
The sale will also enhance Capri’s financial position to pursue growth strategies for its other luxury brands Michael Kors, and Jimmy Choo.
