DOJO — The Prada Group has officially taken ownership of luxury rival Versace in a deal worth nearly €1.25 billion (almost US$1.4 billion), marking one of the most significant shifts in the Italian fashion landscape in decades. The acquisition, finalized after all regulatory approvals, brings the iconic Versace brand under the same corporate roof as Prada and Miu Miu.
The takeover follows years of behind-the-scenes interest and comes after the failed attempt by U.S. group Tapestry to acquire Capri Holdings, Versace’s former parent company.
How the deal came together
According to Prada heir Lorenzo Bertelli, the group had been eyeing Versace for years. When Capri Holdings’ sale to Tapestry collapsed over antitrust concerns, Prada moved quickly to reopen talks.
“There were discussions before, even during COVID,” Bertelli explained. “When the Tapestry deal fell apart, that allowed us to move faster.”
Founded in 1978 by Gianni Versace, the brand remains one of the most recognizable names in global fashion. Its bold, glamorous identity will now sit alongside Prada’s refined aesthetic and Miu Miu’s youthful, trend-driven appeal.
What happens to Versace now
Bertelli, who serves as Prada Group marketing director and sustainability chief, will become Versace’s executive chairman as integration begins. He has emphasized that no sweeping leadership changes are expected immediately but made it clear that Versace has been underperforming in recent years.
Prada believes Versace offers “significant untapped growth potential.”
The 47-year-old brand has already begun a creative refresh under designer Dario Vitale, who debuted his first collection at Milan Fashion Week. Vitale previously worked at Miu Miu, although his move was not linked to the acquisition.
Versace accounted for 20% of Capri Holdings’ 2024 revenue of €5.2 billion. Under Prada’s ownership, the brand is expected to make up about 13% of the group’s future revenue, with Miu Miu at 22% and Prada maintaining its dominant 64%.
How Prada plans to integrate Versace
Prada is preparing to fold Versace into its highly regarded in-house manufacturing network, which spans Tuscany, Siena, Perugia, Veneto, Umbria and the U.K.
“Whether we make a bag for one label or another, the craftsmanship is the same,” Bertelli said during a tour of Prada’s Scandicci leather factory.
The group has invested €60 million this year alone to expand production capacity — including a new leather goods factory near Siena and additional knitwear and footwear facilities. That builds on more than €200 million invested between 2019 and 2024.
Prada also operates an in-house academy that has trained over 570 artisans in the last 25 years. In 2024, 70% of this year’s graduates were hired internally as the company ramps up production ahead of Versace’s integration.
