Prada has completed its $1.375 billion cash acquisition of Versace from US-based Capri Holdings, bringing the iconic designer brand back to its Italian roots.
Versace and Prada are well-known in the fashion world for their rivalry. The deal ends Versace’s tenure under Capri, which owns Michael Kors and Jimmy Choo. The company will use the proceeds to reduce debt.
Donatella Versace publicly welcomed the move, calling it a fitting tribute to her late brother Gianni Versace.
Prada heir Lorenzo Bertelli will serve as executive chairman of Versace.
The acquisition strengthens Prada’s portfolio; Versace will represent about 13% of Prada Group revenue, alongside Prada at 64% and Miu Miu at 22%.