MILAN — Prada officials announced they have entered into a definitive agreement to acquire 100% of Versace from Capri Holdings in a deal reportedly worth nearly $1.4 billion.
The cash consideration, based on an Enterprise Value of €1.25 bn1 , is subject to adjustments at closing.
Founded in 1978 in Milan, Versace is one of the leading international fashion design houses and epitome of Italian luxury worldwide. Building on a remarkable brand awareness, Versace stands as a distinctive asset in the luxury landscape. Deeply rooted in the history of fashion, the brand displays strong potential to read contemporaneity and marked sensibility in capturing and anticipating the spirit of today’s and future society.
With its highly recognizable aesthetic, the brand constitutes a strongly complementary addition to the Prada Group’s portfolio and displays significant untapped growth potential leveraging multiple value creation levers.
Within the Prada Group, Versace will maintain its creative DNA and cultural authenticity, while benefitting from the full strength of the Group’s consolidated platform, including industrial capabilities, retail execution and operational expertise.
Patrizio Bertelli, Prada Group Chairman and Executive Director, said Prada is “delighted to welcome Versace to the Prada group.”
“We are delighted … to build a new chapter for a brand with which we share a strong commitment to creativity, craftmanship and heritage,” Bertelli said. “We aim to continue Versace’s legacy celebrating and re-interpreting its bold and timeless aesthetic; at the same time, we will provide it with a strong platform, reinforced by years of ongoing investments and rooted in longstanding relationships. 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.”
Under the terms of the agreement, the Prada Group will acquire 100% of Versace for a total Enterprise Value of $1.375 billion on a debt and cash free basis.
The final cash consideration will be determined at closing and is subject to adjustments based on the Net Working Capital and Net Financial Position. The consideration includes significant tax losses carry forward; additionally, Capri Holdings will fund certain transaction expenses.
The transaction has been approved by the boards of directors of both Prada and Capri Holdings and is expected to close over the course of the second half of 2025, subject to customary closing conditions, including the receipt of required regulatory approvals.
