Private investment fund Blackstone will buy 20 % of Versace’s shares through a capital injection into the fashion company.
Family will keep control
Blackstone will invest 205.8 million dollars (150 million euro) into Versace, which the company will use the additional funds to continue its international expansion, from 137 stores nowadays to 200 stores within the next three years. In return, Blackstone will get 82.3 million dollars (60 million euro) in shares, the equivalent of 20 % of the shares, keeping the Versace family in full control.
Donatella Versace, the creative director, currently has 20 % of the shares, with Santo Versace (the president) in control of another 30 % of the shares. Donatella’s daughter currently owns 50 % of the stock, but because of Blackstone’s investment, there will be some shuffling in the percentages each party owns at this point.