Prada Nears €1.5 Billion Acquisition of Versace

Prada is nearing a deal to acquire Versace from Capri Holdings for approximately 1.5 billion euros ($1.6 billion), a move that would unite two of Italy's leading luxury fashion brands. Following months of negotiations, the transaction is expected to be finalized soon, with sources indicating that initial due diligence has shown no significant risks. Capri, which purchased Versace in 2018, is looking to divest the brand amid declining revenues and operational losses. The acquisition would bolster Prada's market position against competitors like LVMH and Kering, especially as it has seen strong sales growth from its Miu Miu brand. Industry experts suggest this deal could signify a shift in the luxury fashion landscape, marked by a trend of consolidation among top brands. Capri's efforts to sell Versace have accelerated after a failed merger with Tapestry due to antitrust concerns.