Michael Kors Closes on its Purchase of Versace

Luxury apparel retailer Michael Kors started the new year by announcing that it was changing its name.

Michael Kors Holdings Ltd. will now be known as Capri Holdings Limited and will start to trade under the symbol “CPRI” starting on January 2nd.
The company also just completed its acquisition of Versace for roughly $2.12 billion.

“With the acquisition of Versace, we have now created one of the leading global fashion luxury groups in the world,” said Chairman and CEO John D. Idol.

Idol added, “Versace has long been recognized as one of the world’s leading fashion luxury houses, and is synonymous with Italian glamour and style. We are thrilled that the house of Versace is now part of the Capri Holdings family of luxury brands.”

According to the company, the acquisition of Versace will help Capri Holdings see annual revenue hit $8 billion in the foreseeable future. The Versace brand is estimated to rake in $2 billion a year.

Michael Kors has seen its shares drop over 40% in the last year.

isclaimer: We have no position in Michael Kors (NYSE: KORS) and have not been compensated for this article.