Prada completes Versace takeover, reshaping the global luxury landscape

Prada has formally completed its acquisition of Versace from Capri Holdings, concluding one of the most high-profile consolidations in the global fashion sector in recent years. The deal, signed in April 2025 and valued at an enterprise value of €1.25 billion, closed after Prada secured all necessary regulatory approvals, as per media reports.

With the transaction finalised, one of Italy’s most iconic heritage fashion houses now becomes part of the Prada Group, strengthening the company’s position in an increasingly competitive luxury market dominated by conglomerates such as LVMH and Kering. Prada said Versace represents a distinctive asset with a globally recognised identity and significant room for expansion.

Founded in 1978, Versace is renowned for its bold glamour, ornate motifs and unmistakable brand language. Prada has stated that the label will retain its creative and cultural identity while benefiting from the Group’s manufacturing scale, global retail network and operational infrastructure — a model similar to the approach used by other major European luxury groups to grow multi-brand portfolios.

At the time of the announcement, Prada Group Chairman Patrizio Bertelli described the acquisition as the beginning of a new chapter for both companies, while Chief Executive Andrea Guerra spoke of Versace’s long-term potential, emphasising the need for disciplined execution and patience despite ongoing sector uncertainties.

Prada has acquired the brand outright on a debt- and cash-free basis, strengthening its strategic push toward greater scale and operational efficiency. The completion of the acquisition is expected to influence the structure of the €1.5 trillion global luxury industry, creating a more formidable European competitor to rivals that dominate the multi-brand landscape.

The Prada Group’s portfolio now includes three internationally recognised labels — Prada, Miu Miu and Versace — giving it increased leverage as scale becomes crucial to sustaining growth. Prada’s strong supply chain, retail optimisation strategies and proven track record in elevating Miu Miu are expected to help accelerate Versace’s performance, particularly in leather goods and accessories, where the brand has historically lagged its global name recognition.

With regulatory processes now concluded, Prada will begin integrating Versace into its industrial and retail systems while preserving the brand’s creative signature. Analysts anticipate the Group will outline a more detailed expansion strategy, including product diversification and store upgrades, over the next 12 to 18 months.

The acquisition also marks a symbolic moment for Italian fashion, pairing one of the industry’s most flamboyant design houses with one of its most refined and minimalist. Together, the two names could signal a new direction for the next phase of global luxury.