Michael Kors purchases Versace for $2 billion?

Recently, the Michael Kors brand has announced that they will purchase the Versace brand for $2 billion. This makes a lot of people surprised. Versace is a great fashion brand. This italian luxury brand has been operating well for many years. But now, Versace suddenly was purchased by Michael Kors for $2 billion. Is this the PR plan of two big brands?

Michael Kors announced the purchase agreement

According to some sources, Michael Kors will purchase Versace for $2 billion. All details of the purchase will be announced soon. Those involved things in the purchase must keep the secret until senior management of Michael Kors informs.

Accordingly, although Versace would be purchased, it still plays an important role in Michael Kors management system. After this incident, representatives of both big brands did not speak anything.

According to some sources, Michael Kors will purchase Versace for $2 billion

In addition to Michael Kors, three other brands also intend to purchase Versace. The three brands are Tiffany & Co. LVMH, PVH Corp and Tapestry.

Why was Versace purchased by Michael Kors?

One of the suspects in the acquisition was Blackstone Group LP. It is known that Blackstone Group LP is a private equity firm and currently owns 20% shares of Versace. No one knows that Blackstone Group LP is holding shares or sold to a third party.

No one knows that Blackstone Group LP is holding shares or sold to a third party

After many tripping, Versace is still a big important brand in the fashion industry. This luxury brand is famous with many excellent fashion items. However, there are some unfavorable conditions for Versace itself to expand more. Currently, Donatella Versace and her brother Santo Versace are running the company. Santo Versace is the president of the company and Donatella Versace is the creative director. So far, senior management of Versace have yet given any information about the incident.

If the acquisition is true, the Versace brand will certainly be affected. Some consumers will not be loyal to Versace anymore. This was a big shock for Versace. Hope the owner of Versace give accurate information soon.