Blackstone has agreed to invest €210 million ($287 million) for a 20% equity interest in luxury products company Gianni Versace SpA (DBA Versace). The transaction values the equity of the company at just over €1 billion ($1.4 billion).
Blackstone will invest €150 million of equity capital into Versace in return for a 14.3 percent equity interest and will invest €60 million in GIVI Holding, the Versace family holding company, in return for a 5.7 percent equity interest.
Versace is one of the world’s leading international fashion houses. Versace designs, markets, and distributes luxury clothing, accessories, makeup, and home furnishings under the various brands of the Versace Group. The company employs approximately 500 and had annual revenues of approximately €480 million in 2013. Versace was founded in 1978 by Gianni Versace who died in 1997. The company is currently owned 30% by Santo Versace (Gianni Versace’s brother), 20% by Donatella Versace (sister) and 50% by Allegra Versace (Donatella Versace’s daughter). Versace is headquartered in Milan, Italy (www.versace.com).
“This investment in the company, together with our clear direction and our outstanding management team, will enable us to achieve Versace’s potential,” said Donatella Versace in a released statement.
Blackstone is one of the world’s leading investment and advisory firms. The firm’s alternative asset management businesses include the management of private equity funds, real estate funds, hedge fund solutions, credit-focused funds and closed-end funds. Blackstone also provides various financial advisory services, including financial and strategic advisory, restructuring and reorganization advisory and fund placement services. Blackstone is headquartered in New York (www.blackstone.com).
© 2014 PEPD • Private Equity’s Leading News Magazine • 2-27-14
