Prada–Versace Mega Deal: Italian Luxury Giant Buys Rival For $1.4 Billion On Gianni's Birth Anniversary 

The strategic objective behind the takeover is to revitalise Versace, which has experienced muted performance since the pandemic.

The acquisition had been in motion for eight months, with regulatory approvals accounting for most of the delay.

Source : X/@Prada

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Prada has officially acquired Versace in a $1.375 billion all-cash transaction, finalised on 2 December 2025 — the birth anniversary of the label’s iconic founder Gianni Versace. The acquisition had been in motion for eight months, with regulatory approvals accounting for most of the delay.

Aim: Reviving a Struggling Luxury House

The strategic objective behind the takeover is to revitalise Versace, which has experienced muted performance since the pandemic. Capri Holdings, the brand’s former parent company, said the proceeds from the sale will be directed towards reducing its debt. Capri had previously explored a potential deal with Tapestry, but the talks collapsed over antitrust concerns.

Donatella Versace Pays Tribute to Gianni

Marking the emotional significance of the day, Donatella Versace commemorated her late brother on Instagram. “Happy Birthday, Gianni. Today is your day and the day Versace joins the Prada family. I am thinking of the smile you would have had on your face. I miss you, always. 🕊️🤍”

Gianni Versace was murdered outside his Miami Beach residence on 15 July 1997.

Lorenzo Bertelli to Lead Versace’s Next Phase

With the acquisition complete, Prada heir Lorenzo Bertelli will take charge of Versace’s next chapter as executive chairman. He will also retain his responsibilities as group marketing director and sustainability chief. Bertelli, who has long championed the deal, earlier said Prada had been eager to bring Versace into its fold for years.

According to him, Versace met two essential criteria, it posed no excessive financial risk and held strong global brand recognition.

A Three-Label Luxury Portfolio

Following the takeover, Prada Group now operates three labels: its flagship Prada line, the smaller but fast-expanding Miu Miu brand, and its newest addition - Versace.

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