Bold headline: Prada swoops in to acquire Versace for $1.375 billion on Gianni Versace’s birthday, reshaping the luxury fashion landscape.
Italian luxury house Prada has completed a long-anticipated acquisition of rival Versace in a cash deal valued at approximately $1.375 billion. The deal closes after eight months of negotiations and was finalized on December 2, coinciding with the 79th birthday of Versace founder Gianni Versace.
Viewed as a strategic move to rejuvenate Versace’s performance after a period of limited growth under Capri Holdings (the U.S.-based owner of Michael Kors and Jimmy Choo) during the pandemic era, the takeover signals Prada’s intent to consolidate position in the super-luxury segment.
Prada issued a concise statement declaring that the acquisition is complete, having obtained all necessary regulatory clearances. Capri Holdings, meanwhile, indicated that the sale proceeds will be used to reduce debt across its portfolio.
Donatella Versace acknowledged the deal in an Instagram post, commemorating her brother Gianni and the brand’s legacy. The post, which included a 1996 photograph of Gianni Versace with Miuccia Prada, reflected a personal note to the brand’s late founder.
Leadership for the combined Versace entity will transition to Prada’s extended leadership team. Lorenzo Bertelli, Prada’s heir, is slated to become executive chairman of Versace, with responsibilities spanning group marketing and sustainability oversight.
Beyond Versace, the Prada Group’s portfolio includes the women’s fashion house Miu Miu, luxury footwear brands Church’s and Car Shoe, and the sailing team Luna Rossa, highlighting a diversified ecosystem in high-end fashion and lifestyle domains.
