Michael Kors announces the acquisition of Versace for $2.1 billion
| Sep 27, 2018, 08:53 IST
We recently got to know that American fashion brand Michael Kors has snapped up famed label Versace for $2.1 billion, taking over one of the last independent Italian brands in an effort to forge its own path into a conglomerate-in-the-making, entitled Capri Holdings. While watchers of fashion have expressed shock and surprise, business enthusiasts saw this coming all along. After acquiring Jimmy Choo in 2017 for $1.2 billion, John D. Idol, Michael Kors CEO, made it quite clear that another purchase was on the agenda.
Kors has described the purchase as a milestone in its expansion plans. Michael Kors and Versace are two brands who are known for their seduction and glamour, albeit at different ends of the spectrum. However, experts on the matter say that the venture could be highly advantageous to both parties. Kors has made most of his money in the mid-market, with a large presence in shopping malls. Versace, on the other hand, has catered to only the creme of society (at least, mostly) and it will be interesting to see what the future of Versace looks like under Michael Kors...
Kors has described the purchase as a milestone in its expansion plans. Michael Kors and Versace are two brands who are known for their seduction and glamour, albeit at different ends of the spectrum. However, experts on the matter say that the venture could be highly advantageous to both parties. Kors has made most of his money in the mid-market, with a large presence in shopping malls. Versace, on the other hand, has catered to only the creme of society (at least, mostly) and it will be interesting to see what the future of Versace looks like under Michael Kors...