Prada announced on Thursday that it would be purchasing Versace for 1.3 billion euros ($ 1.4 billion ) from Capri Holdings, a struggling New York company that once positioned itself as the American equivalent of the great fashion groups of France in the biggest luxury deal of the year.
The agreement is a sign of confidence in the value of Made in Italy even though Trump’s plans have caused financial industry to be in chaos. And it signals the end of Capri’s effort to establish an American comfort brand that would rival LVMH and Kering, as well as Prada’s attempt to establish an Italian rival to the behemoths.
Versace will work for Prada Group alongside Miu Miu, Luna Rossa, the America’s Cup sailing team, and Marchesi, creating a “best in course” mosaic of Roman savoir-faire. Additionally, it adds a ready-to-wear company with a distinct identity to Miu Miu and Prada, as well as one that doesn’t rely on Miuccia Prada as its main fashion force. Andrea Guerra, CEO of Prada, stated that the acquisition had “add a new component, distinct and complementary” to the company. The trip may become drawn out, he continued.
On the surface, Prada and Versace are a study in differences. Versace drew inspiration from a party of display and fantasy, reveling in the sun, sex, the female stare, and the line between poor taste and elegance. Prada, on the other hand, embraced a contrary exploration of the significance of femininity, gender politics, and the odd allure of unpleasant chic. However, Prada Chairman Patrizio Bertelli stated that” we share a strong determination to creativity, ingenuity, and heritage,” an understanding of the power of product semiology, such as the bottom triangle and the serpent head, and a belief in the importance of family.
Miuccia Prada is nearer to Donatella Versace, who took over the business that her late brother Gianni founded in 1997. Although Versace left her position as chief creative official next month, she is “delighted” to have her model back in home arms.
