"The purchase created a multi-brand luxury powerhouse made up of Michael Kors jet-set lifestyle apparel and designer bags, the iconic Jimmy Choo footwear brand, plus the red-carpet glamour of Versace. Donatella Versace herself, who stepped up to lead after her brother Gianni's tragic death in 1997, was in place as the creative visionary and said she was excited about the long-term prospects for the brand her brother founded in Milan in 1978."
"Seven years on, that vision is in tatters. Capri has been in free fall. The company posted a $1.18 billion loss in fiscal 2025 and revenues have plummeted 21% from $5.6 billion to $4.4 billion during the past two fiscal years. The crown jewel, its Michael Kors brand which accounts for nearly 70% of the company's revenues, has bled $864 million in sales since 2023. In April 2025, Capri announced it would sell Versace to Prada for $1.375 bil"
In September 2018 Michael Kors Holdings acquired Versace from Blackstone for $2.1 billion, creating a group that included Michael Kors, Jimmy Choo and Versace. Donatella Versace remained creative director and the company renamed itself Capri Holdings, targeting $8 billion in group revenues with specified contributions from each brand. Optimism centered on multi-year revenue and earnings growth driven by brand strength and the Versace acquisition. By fiscal 2025 Capri reported a $1.18 billion loss, revenues fell 21% to $4.4 billion over two years, Michael Kors sales dropped $864 million since 2023, and Capri moved to sell Versace to Prada for $1.375 billion.
Read at fortune.com
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