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Prada Closes Versace Acquisition for $1.375 Billion

Prada plans a measured relaunch built on its Italian manufacturing base.

Overview

  • The all-cash purchase price finalized at about $1.375 billion after customary adjustments to the initial €1.25 billion agreement.
  • Lorenzo Bertelli will serve as Versace’s executive president and has signaled no immediate executive shakeups.
  • Prada has begun integrating Versace into its Italian manufacturing and retail platform to support a gradual brand relaunch.
  • The combined group’s pro forma revenue surpasses €6 billion, strengthening Italy’s luxury footprint against French conglomerates.
  • Capri Holdings will use the proceeds primarily to pay down debt and reduce leverage while focusing on Michael Kors and Jimmy Choo.