Prada completes Versace's acquisition

Italian luxury giant Prada has announced the successful completion of its acquisition of Versace from Capri Holdings, marking one of the most significant consolidations in the global fashion industry in recent years. The deal, first signed in April 2025 and valued at an enterprise value of €1.25 billion, closed after Prada received all required regulatory approvals.

The transaction brings one of Italy’s most recognisable heritage fashion houses under the Prada Group umbrella, creating a new powerhouse in European luxury at a time when global consumer demand is shifting and competition from mega-conglomerates like LVMH and Kering intensifies.

Founded in 1978, Versace has long been synonymous with high-voltage glamour, bold iconography, and an instantly recognisable aesthetic. Prada described the brand as a “distinctive asset” with strong global awareness and “significant untapped growth potential”.

In its April announcement, Prada said Versace will retain its creative DNA and cultural authenticity even as it plugs into the Group’s industrial capabilities, global retail execution, and operational backbone. This allows Prada to add scale while maintaining brand autonomy, which is a model that has worked well for Europe’s largest luxury groups.

At the time Patrizio Bertelli, Prada Group Chairman and Executive Director, called the acquisition the start of “a new chapter” for both companies, while Prada CEO Andrea Guerra echoed the long-term ambition behind the deal: “Versace has huge potential. The journey will be long and will require disciplined execution and patience… Notwithstanding sector uncertainties, we look at the future with confidence.”

Prada has acquired 100% of Versace on a debt- and cash-free basis and the acquisition reinforces Prada’s strategic shift toward consolidation, scale, and improved operational efficiencies.

The completion of the acquisition is set to reshape the competitive dynamics in the €1.5 trillion global luxury market creating a stronger European rival to LVMH and Kering.

Prada’s portfolio now boasts three globally recognised luxury brands: Prada, Miu Miu, and Versace. This gives it greater weight as multi-brand luxury groups increasingly dominate the market.

Prada’s highly disciplined supply chain, retail optimisation, and proven ability to scale Miu Miu could help Versace accelerate in categories such as leather goods and accessories, which have been areas where it has historically underperformed relative to its global brand recognition.

With the regulatory process complete, Prada will now begin integrating Versace into its industrial and retail network, while keeping the brand’s creative expression intact. Analysts expect the Group to outline detailed growth plans, including potential product-line expansion and store refurbishments, over the next 12–18 months.

The acquisition marks a symbolic moment for Italian fashion: one of its most flamboyant houses joining forces with one of its most architecturally minimalist. Together, they may represent a new blueprint for the next era of global luxury.