The Prada Group has agreed to buy Italy’s Versace from Capri Holdings in a deal valued at 1.25 billion euros ($1.4 billion).
The big picture: The acquisition is seen as a strategic move, with Prada aiming to integrate Versace’s highly recognizable aesthetic into its portfolio, which already includes the Prada and Miu Miu fashion brands.
- The deal is expected to be funded by 1.5 billion euros in new debt and is scheduled to be finalized in the second half of the year.
- Prada stated that Versace’s creative DNA and cultural authenticity will be maintained, while benefiting from Prada Group’s industrial capabilities, retail execution, and operational expertise.
Driving the news: Capri Holdings, which includes Michael Kors and Jimmy Choo, had owned Versace since 2018, having paid $2 billion for the fashion house.
- Last month, Capri Holdings made leadership changes at Versace, appointing Dario Vitale as creative director to replace Donatella Versace, who became the brand’s chief brand ambassador.
