The deal, expected to close in the second half of 2025, brings Versace into the Prada Group in a bid to reinforce its long-term strategic growth.
Key Takeaways:
• Prada Group has announced it will acquire 100% of Versace from Capri Holdings for €1.25 billion.
• The transaction is expected to close in the second half of 2025, pending regulatory approvals.
• The acquisition will be funded through €1.5 billion in new debt.
• Versace will join Prada’s portfolio, with plans to scale the brand while respecting its heritage.
• Donatella Versace stepped down as chief creative officer on April 1, succeeded by Dario Vitale.
After months of industry speculation, Prada Group has confirmed its acquisition of Versace in a landmark €1.25 billion deal. The transaction, announced Thursday as Prada’s exclusivity period with Capri Holdings concluded, marks one of the most significant moves in recent luxury fashion consolidation.
According to Prada Group, the deal will be financed by €1.5 billion in new debt, comprising a €1 billion term loan and a €500 million bridge facility. The acquisition is expected to finalize in the second half of 2025, pending customary regulatory approvals.
Bringing Versace under the Prada umbrella signals a strategic expansion for the Italian luxury group, which aims to leverage its platform to reinvigorate the iconic Milanese fashion house. Executives emphasized their commitment to upholding Versace’s bold design language and legacy while enabling its long-term growth through structured operational support and creative reinvestment.
While the terms of the deal focus solely on Versace, previous reports suggested that Jimmy Choo could also be included, though Prada has not confirmed this. Industry insiders believe Prada may still consider flipping Jimmy Choo to another buyer to concentrate resources on developing Versace.
Versace enters this new chapter during a leadership transition. On April 1, Miu Miu alum Dario Vitale officially succeeded Donatella Versace as chief creative officer. Donatella, who spent nearly three decades steering the brand after her brother Gianni’s death, remains its public figure and was recently named chief brand ambassador.
Versace was previously acquired by Michael Kors Holdings in 2018 in a $2.1 billion deal that helped form the multi-brand entity Capri Holdings. This latest acquisition by Prada adds fresh momentum to the group’s long-term vision to grow its portfolio through strategic and measured expansion, even amid broader industry headwinds.