The fashion world is going through changes.
Less than a month after Donatella Versace—the sister of the brand’s late founder Gianni Versace who took overfollowing his 1997 assassination—stepped down from her role of creative director from the iconic fashion brand, Prada has purchased it for a whopping $1.4 billion.
The Prada Group, which includes Prada and its offshoot brand Miu Miu as well as other subsidiaries in food and fashion, announced the momentous sale in a statement released April 10, saying, per the Associated Press that Versace’s “highly recognizable aesthetic,” will make a “strongly complementary addition” to Prada’s portfolio.
Prada, which is helmed by Miuccia Prada—the daughter of founder Mario Prada—noted that Versace offers a segue into previously “untapped growth potential” for the brand.”
“Versace will maintain its creative DNA and cultural authenticity,” the statement from Prada continued, “while benefiting from the full strength of the Group’s considerable consolidated platform, including industrial capabilities, retail execution and operational expertise.”
While Donatella acted as creative director, Versace was previously bought by Capri Holdings—which also owns Jimmy Choo and Michael Kors—in 2018 for $2 billion. The 69-year-old has maintained a close bond to Miuccia throughout their time together as faces in fashion.
And following news of the sale, Donatella expressed her thrill, sharing a photo of herself and Miuccia as well lauding the mogul and her husband Patrizio Bertelli.
“I am absolutely delighted for Versace to become part of the Prada family,” she wrote in an April 10 Instagram post. “Gianni and I have always had a huge admiration for Miuccia, Patrizio and their family. I am honoured to have the brand in the hands of such a trusted Italian family business and I am ready to support this new era for the brand in any way that I can.”
Meanwhile, experts in fashion are calling the sale “bold” amid an otherwise turbulent time in luxury retail.
As Robert Burke, founder of an eponymous New-York based retail consulting brand, told the New York Times in response to the sale, “The acquisition would position Prada to diversify its portfolio and compete on a larger global stage.”
