Italian Group Prada Considers Potential Acquisition of Versace

Prada, the Italian fashion group, is reportedly among the potential suitors for acquiring the luxury brand Versace, currently owned by the American company Capri Holdings, according to market rumours cited by the Italian newspaper 'Il Sole 24 Ore' on Friday.

The Italian newspaper suggests that the group led by Miuccia Prada and Patrizio Bertelli, with Andrea Guerra as CEO, is analysing the potential deal with their advisors.

However, Prada is not the only company in the race, as other fashion conglomerates, particularly several private equity funds, have also entered the market, the newspaper notes, recalling that a year ago, the same operation was considered by the Agnelli-Elkann family holding, Exor, and by Kering.

Versace has been part of Capri Holdings since 2018, when the multinational acquired the brand from the Versace family and Blackstone for over 1.8 billion. However, the newspaper indicates that since mid-December, rumours increasingly suggest Capri's willingness to sell Versace, as well as Jimmy Choo, for which they have reportedly entrusted Barclays with a mandate to explore potential buyers.

This would be the second time in less than a decade that Prada has shown interest in Versace, as in 2018, when Versace was acquired by Capri Holdings following Blackstone's exit, Prada reportedly considered the case but ultimately declined its interest.

According to investment banks consulted by the newspaper, a possible integration between Prada and Versace would make great industrial sense and could create a significant Italian hub in the luxury segment.

In October 2024, a US federal court, at the request of the Federal Trade Commission (FTC), temporarily blocked the $8.5 billion (€8.248 billion) transaction for the merger between Tapestry, owner of brands like Coach and Kate Spade, and Capri Holdings, owner of Versace, Jimmy Choo, and Michael Kors, who subsequently withdrew from the deal.