Versace taken over by US company Kors

The leading Milan fashion house sold in €1.83 billion deal.

Milan’s iconic fashion house Versace has been sold to US fashion group Michael Kors on 25 September in a contract worth €1.83 billion (around $2.12 billion).

Once the acquisition is complete, Michael Kors Holdings Ltd. will be re-branded Capri Holdings Ltd., a name “inspired by the legendary island that has long been recognised as an iconic glamour and luxury destination,” Kors told media.

Donatella Versace (pictured), sister of the founder of the brand Gianni and currently vice president and chief designer, will stay on under the new configuration. Her brother Santo and Jonathan Akeroyd, co-CEOs of Gianni Versace SpA, will also stay in their roles.

The Versace family, which owned 80 per cent of the company after selling the balance to US private equity group Blackstone four years ago, will receive €150 million in shares in the new Capri venture.

Versace sales in 2016 reached €686m; annual turnover is forecast to soon exceed €1bn.

Donatella, who had worked closely with Gianni, took the helm as designer after he was murdered in 1997 in Miami Beach by spree killer Andrew Cunanan for reasons which have always remained a mystery.

Among the glittering personalities featured in Versace’s campaigns have been Jennifer Lopez, Madonna, Courtney Love, Christina Aguilera, Demi Moore, Beyoncé and Lady Gaga.