In a groundbreaking move in the luxury fashion world, Prada has agreed to acquire Versace from Capri Holdings for $1.375 billion, including debt.
This deal unites two of Italy’s most iconic fashion houses—Prada, known for its minimalist sophistication, and Versace, celebrated for its bold, baroque aesthetic. The purchase strengthens Italy’s presence in a high-end market long dominated by French giants like LVMH.
Founded in 1913 as a leather goods shop, Prada has expanded significantly under Miuccia Prada and Patrizio Bertelli, now also owning Miu Miu and Church’s. The acquisition of Versace marks Prada’s biggest deal since the 1990s.
Versace, which has faced recent losses, finds a new direction after Donatella Versace announced her departure as creative director on March 13. She expressed full support for the deal:
“Gianni and I have always admired Miuccia and Patrizio. I am honored to see Versace in the hands of a trusted Italian family business.”
Prada Chairman Bertelli echoed her sentiment:
“We aim to continue Versace’s legacy while strengthening it with our experience, investments, and global platform.”
The purchase price falls below the $2.15 billion that Michael Kors paid for Versace in 2018. Capri CEO John Idol said the sale will allow Capri to strengthen its portfolio and focus on Michael Kors and Jimmy Choo.
Despite market volatility, Prada sees long-term potential in Versace. CEO Andrea Guerra noted:
“The journey will be long and require disciplined execution—but the brand’s potential is immense.”
