Versace Sold to Prada

Capri Holdings Ltd. (London) said it has entered a definitive agreement to sell Italian fashion house Versace (Milan) to its crosstown compatriot/competitor Prada Group for $1.375 billion in cash. The deal is expected to close in the second half of 2025, subject to customary closing conditions, including regulatory approvals.

“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,” said John Idol, Chairman and CEO of Capri, whose holdings also include Jimmy Choo and Michael Kors. “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, 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.”

In Prada Group’s news release on the deal, Chairman and Executive Director Patrizio Bertelli said: “We are delighted to welcome Versace to the Prada Group and to build a new chapter for a brand with which we share a strong commitment to creativity, craftmanship and heritage. …Our organization is ready and well positioned to write a new page in Versace’s history, drawing on the group’s values while continuing to execute with confidence and rigorous focus.”

In its coverage of the news, The New York Times reported that “the deal is a sign of faith in the continued value of Made in Italy at a time when the financial markets are in chaos because of President Trump’s whipsawing tariff policies. And it marks the end of Capri’s attempt to create an American luxury group to rival LVMH and Kering, while signaling an attempt by Prada to create an Italian competitor to the powerhouses.”