Stefano Gabbana is stepping down from Dolce & Gabbana

The Italian fashion house Dolce & Gabbana is on the verge of major changes. Co-founder Stefano Gabbana has stepped down as chairman and is considering selling his 40% stake. It marks the end of an era.

The end of independence?

Dolce & Gabbana, founded in 1985 by Domenico Dolce and Stefano Gabbana, managed to stay away from luxury conglomerates such as LVMH and Kering for decades thanks to its unique glamour and strong preference for independence. But is that coming to an end now?

Gabbana’s departure as chairman was already recorded in a document filed with the Italian Chamber of Commerce earlier this year, but was only recently made public. His successor is Alfonso Dolce, brother of co-founder Domenico Dolce. Gabbana will remain involved in the creative side of the brand, Dolce & Gabbana announced.

The timing may not be coincidental. According to Bloomberg, the brand is in the midst of a debt restructuring. The company has been grappling with financial challenges for quite some time. A new search for 150 million euros in fresh capital, following a previous injection of 450 million euros last year, underscores the urgency. Furthermore, the brand may be selling real estate to improve liquidity.