Prada. Photo by Peter Dazeley/Getty Images
Prada has acquired Versace, another one of luxury fashion’s most recognizeable names, in a $1.375 billion deal from holdings company Capri Holdings.
The deal was salvaged after seeming unlikely only hours earlier, reports the Wall Street Journal. The Prada family made their final decision the morning of Thursday, April 10, a day after President Donald Trump announced a 125% tariff on China that could affect the price of certain materials.
Versace was purchased from Capri Holdings, a fashion holding company formerly known as Michael Kors Holdings Limited that purchased Versace for $2.1 billion in 2018. Last month, Donatella Versace stepped down as the brand’s longtime creative director and was replaced by Dario Vitale, a veteran of Dsquared2, Bottega Veneta, and Miu Miu,
John D. Idol, Prada Group’s Chairman and Chief Executive Officer, issued the following statement: “Versace is an iconic Italian fashion luxury house founded 46 years ago by Gianni Versace and further developed under the creative vision of Donatella Versace. Over the last six years, we have made tremendous progress in repositioning the brand to place greater emphasis on its luxury heritage and exceptional craftsmanship.
“Through elevated product, marketing and store enhancements,” he continued, “the brand is now well positioned for sustainable long-term growth. We are confident that Prada Group is the perfect company to further guide Versace into its next era of growth and success.”
