Michael Kors buys Versace for $2B
Michael Kors’ News Release
For Immediate Release Oct. 9, 2018
Michael Kors purchase Versace for $2B to enhance long-term success
(NEW YORK CITY, NY. Oct. 9) - The favored fashion company creates deal to purchase high end brand.
Michael Kors had set to expand their company and purchase an independent Italian fashion brand, Versace. $2.1B will be invested by the Kors brand to increase Versace’s growth and revenue while expanding over 200 shops worldwide. Reaching to a variety of demographics, Michael Kors will change its name to Capri Holdings Limited once the deal is finalized by the end of 2018. Capri Holdings Limited will continue to uphold its glamorous and luxury facade along with Versace in efforts of increasing consumers specifically in Europe and Asia.
Versace stated, “I’ve been approached by many interested parties, but I know this deal is the right one for this company both now and for our future. Their passion and vision for Versace is clear and completely in line with mine.”
“We are all very excited to join a group led by, Michael Kors CEO, John Idol, whom I have always admired as a visionary as well as a strong and passionate leader. We believe that being part of this group is essential to Versace's long-term success," Donatella Versace said.
Established in 1981, Michael Kors made its start with luxury accessories and ready-to-wear items including footwear, watches, jewelry, men’s and women’s clothing, eyewear, and a full line of fragrance products. In 2017, the brand bought Jimmy Choo, a shoe designer, and its success with the company provided confidence with securing a deal with Versace. The Versace family will continue to be shareholders of the company and Jonathan Akeroyd will remain the chief executive of the label despite the purchase. For more information visit https://www.michaelkors.com, https://www.versace.com/us/en-us/home/
