Italian fashion house Prada has signed a deal to buy the legendary Versace brand for $1.38 billion in cash, focusing its efforts on strengthening its position as the largest fashion group in Italy. The deal, reported by Bloomberg, is part of Prada’s strategy to expand its investments in the luxury segment.

The deal is expected to be finalized in the second half of this year, after approval by all necessary regulatory authorities. Prada, which is controlled by famous designer Miuccia Prado and her husband Patrizio Bertelli, has expressed interest in Versace as an opportunity to strengthen its position in the global fashion market.

In February 2025, it became known that Prada, instead of American investor Capri Holdings, which acquired the Versace brand in 2018 for $1.8 billion, became the new owner of the Italian fashion house. This move will mark the largest transaction in Prada’s history, restoring control of Versace to Italian ownership.

The acquisition of Versace will be a key step in Prada’s strategy to compete with major players in the luxury market, such as LVMH and Kering. This deal will allow Prada to expand its brand portfolio and strengthen its position in the international fashion arena, while maintaining the distinction and style of Versace, known for its exclusive clothing and accessories.

The agreement to purchase Versace took place against a backdrop of global economic turbulence caused by trade wars and tariffs imposed by the administration of US President Donald Trump. Prada has been actively negotiating with Versace representatives for several months to reach this strategic agreement, which opens up new opportunities for both fashion houses on the international stage.

Overall, the acquisition of Versace is an important step to strengthen Prada’s leadership in the global fashion industry, opening up prospects for further growth and development in today’s competitive environment.