Versace to Retain Creative Autonomy While Leveraging Prada’s Global Platform Market Responds Strongly as Deal Boosts Both Prada and Capri Holdings
In a landmark fashion industry development, the Prada Group has officially entered a definitive agreement to acquire 100 percent of Versace from Capri Holdings in a €1.25 billion ($1.375 billion) all-cash transaction. The acquisition, one of the most high-profile deals of the year, is expected to close in the second half of 2025, pending regulatory approvals.
Founded in 1978 in Milan, Versace stands as one of the most iconic and influential luxury brands, known for its bold aesthetic, opulent designs, and deep cultural impact. Under this new agreement, Versace will continue to operate with its creative DNA intact, while gaining access to the full strength of Prada Group’s global infrastructure and operational expertise.
Versace to Retain Creative Autonomy While Leveraging Prada’s Global Platform
In a joint announcement, Prada Group confirmed its commitment to preserving Versace’s distinctive identity, while accelerating its global expansion through the group’s consolidated industrial and retail capabilities.
Patrizio Bertelli, Chairman and Executive Director of the Prada Group, stated,
“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, craftsmanship, and heritage.”
Bertelli emphasized that Versace’s bold and timeless aesthetic will continue to thrive, while being reinforced through Prada’s sustained investments and legacy of operational excellence. He added that the group is “well positioned to write a new page in Versace’s history,” highlighting the seamless integration potential of the deal.
Market Responds Strongly as Deal Boosts Both Prada and Capri Holdings
The acquisition was met with strong investor enthusiasm, reflecting confidence in the strategic synergy between the two fashion powerhouses. On the New York Stock Exchange, Capri Holdings shares surged by 31.09%, closing at US$16.36, while Prada stock rose by 4.93% on the Hong Kong Stock Exchange, closing at HK$47.85.
John D. Idol, Chairman and CEO of Capri Holdings, described the sale as a forward-looking move that benefits all parties.
“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,” Idol said. “We are confident that Prada Group is the perfect company to further guide Versace into its next era of growth and success.”
He further noted that Capri Holdings had made significant progress in repositioning Versace toward greater luxury over the past six years, focusing on elevated products, refined marketing, and upscale retail environments.
The sale is also expected to strengthen Capri Holdings’ balance sheet, reduce corporate debt, and allow strategic reinvestment into other key brands in its portfolio — namely Michael Kors and Jimmy Choo.
