Capri Holdings has successfully completed the sale of Versace to Prada S.p.A. for $1.375 billion in cash.
Proceeds from the sale will be used to repay the majority of the company's debt, strengthening the balance sheet.
The transaction aims to reduce leverage ratio, enhance financial flexibility, and support future growth initiatives.
Sale Details
Versace was sold to Prada S.p.A. for $1.375 billion in cash with adjustments.
Debt Repayment
Proceeds from the sale will be used to repay a significant portion of Capri Holdings' debt.
Financial Impact
The sale is expected to reduce the company's leverage and offer greater financial flexibility for investments and shareholder returns.
- The completion of the Versace sale is expected to strengthen Capri Holdings' balance sheet by reducing debt.
- The sale will allow the company to focus on strategic initiatives across Michael Kors and Jimmy Choo brands for growth in the future.
With the sale of Versace, Capri Holdings is poised to enhance financial stability, reduce debt, and focus on brand growth strategies across its portfolio. The partnership with Prada is seen as a step towards a promising future.