Prada buys out Versace
Prada has officially completed its buyout of the Italian luxury brand Versace from Capri Holdings Limited for $1.375 billion, Qazinform News Agency reports.
According to Capri Holdings, the proceeds from the sale will be used to repay the majority of the group’s debt obligations. John D. Idol, Chairman and Chief Executive Officer of Capri Holdings, emphasized that this will significantly strengthen the company’s financial position, reduce leverage, and provide greater flexibility for future investments and shareholder returns.
“We remain focused on executing our strategic initiatives across Michael Kors and Jimmy Choo to maximize the potential of our iconic brands. Looking ahead, we believe we are on track to stabilize our business this year while establishing a solid foundation for a return to growth in fiscal 2027,” Idol stated.
The head of Capri Holdings also expressed gratitude to the Versace team, highlighting Donatella Versace, Dario Vitale, and Emmanuel Gintzburger for their contributions to the brand’s evolution. He added that he considers Prada “the ideal partner” to lead the iconic fashion house into its next stage of growth.
Capri Holdings remains the owner of Michael Kors and Jimmy Choo, continuing to position itself as a global luxury fashion group.
The buyout comes amid heightened regulatory scrutiny in Europe. Earlier, the European Commission fined Gucci, Chloé and Loewe more than 157 million euros for fixing resale prices in violation of EU antitrust rules.
