Fashion house Michael Kors buy Versace

© AP Photo / Bebeto MatthewsПоказ collection Michael Kors at the fashion Week in new York. Archival photoFashion house Michael Kors buy Versace© AP Photo / Bebeto Matthews

American fashion house Michael Kors has agreed to buy Italian rival Gianni Versace S. p.A for of 1.83 billion euros (2.12 billion dollars), said the us company.

Thus, the company confirmed reports of the deal appeared in the media on Monday.

After completion of the transaction, which is expected in the fourth quarter of the current fiscal year (January-March 2019), Michael Kors will change its name to Capri Holdings Limited. The purchase will be funded from existing available cash and credit. Michael Kors believes that the deal will give the company the opportunity to increase revenue to 8 billion dollars in the long run.

In addition, according to us, the company buying the Italian fashion house contributes to increased geographical diversification and increased presence in Europe and Asia. Michael Kors plans to increase the number of retail stores worldwide with 200 to 300 pieces. «Using all the resources of our group, we believe that revenue Versace will exceed 2 billion dollars», — are reported words of the Chairman of the Board of Directors and chief Executive officer Michael Kors John Idol (John D. Idol).

Gianni Versace S. p.A. is an Italian company founded in 1978 by fashion designer Gianni Versace. Engaged in manufacturing of fashionable clothes, perfumes, watches, home goods, accessories and other luxury items. After the death of Gianni in 1997, the management of the concern passed to his younger sister, Donatella.

Michael Kors is an American fashion house, designing clothes, shoes, swimwear, accessories and perfumes under its brand. The company was founded in 2002. Shares are traded on the Nasdaq.

Fashion house Michael Kors buy Versace© AFP 2018 / Miguel MedinaЯркие and contradictory images of fashion Week in Milan