Prada Group has officially completed its acquisition of Versace from Capri Holdings , closing a deal valued at around $1.38 billion and bringing one of Italy’s most famous fashion houses under the Prada umbrella.
First announced in April 2025 with an agreed enterprise value of €1.25 billion (about $1.375 billion) , the transaction has now cleared all regulatory approvals and marks one of the biggest luxury consolidations of the decade. What Prada bought and how the deal was structured Under the terms of the
agreement, Prada is acquiring 100% of Versace on a debt‑ and cash‑free basis, paying a consideration based on an enterprise value of €1.25 billion . The final price is subject to customary closing adjustments linked to Versace’s net working capital and net financial position.
Capri, which bought Versace in 2018 at an enterprise value of about €1.83 billion , will use the proceeds to pay down debt and refocus on Michael Kors and Jimmy Choo .
Prada is funding the acquisition with €1.5 billion in new debt , split between a €1.0 billion term loan and a €0.5 billion bridge facility arranged with major banking partners. Even after the financing, the group says it will retain balance‑sheet flexibility thanks to its existing cash and undrawn credit lines.
Why Prada wanted Versace In its announcement, Prada Group describes Versace as a “distinctive asset” with exceptional global brand awareness and “significant untapped growth potential,” particularly in categories like leather goods and accessories where recognition has historically outpaced sales…
