The Versace family is set to sell their brand this week.
Founded by Gianni Versace in 1978, the label has been a family run business since, owned partly by Blackstone (who took a 20% stake in 2014). After Gianni died in 1997, the brand has remained mostly in the hands of his sister Donatella, as well as brother Santo Versace and Allegra Versace Beck, his niece. Now though, Versace is set to be bought by US luxury clothing and bag brand Michael Kors, reportedly for $2 billion.
According to Italian newspaper Corriere della Sera, Donatella Versace will call an all-staff meeting tomorrow to announce the deal, although both brands have declined to comment so far. Rumours have spread that the deal is not yet final and that Versace have spoken to other possible buyers too. As one of the last independent fashion houses, Versace had put the brakes on an initial public offering of the brand, because market conditions were unsuitable. Now, it seems, that has changed.
Having recently bought the London shoemaker Jimmy Choo for almost £900 million, Michael Kors is becoming an even bigger giant in the luxury goods industry. Versace has boomed in the past few years, notably in the media after bringing back 90s supermodels Carla Bruni, Claudia Schiffer, Naomi Campbell, Cindy Crawford and Helena Christensen to celebrate Gianni’s original designs and show.
24 September 2018