MILAN (Reuters) – Italy’s Prada (OTC:) is considering buying fashion group Versace from US Capri Holdings (NYSE:), daily Il Sole 24 reported on Friday.
Citi is advising Prada, it said, adding that Capri Holdings has appointed Barclay’s to find potential buyers.
The Italian financial newspaper added that other fashion groups, as well as private equity funds, would also be interested in Versace, but the value of the Italian house was still being discussed. It said Prada had no comment on the report.
Last month, trade magazine Women’s Wear Daily reported that the US luxury goods conglomerate, which also owns Michael Kors and other fashion groups, was working to find buyers for some of its brands, including Versace and luxury shoe maker Jimmy Choo, to focus on Kors’ turnaround plan .
In November, Capri reported a larger-than-expected drop in quarterly revenue, hit by missteps in brand execution and a global slowdown in demand for luxury goods.