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Blackstone, KKR among Many Firms Bidding for a Minority Stake in Versace: Reuters

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According to Reuters, citing sources familiar with matter as saying, no less than seven potential bidders are vying to take a majority stake in the Italian fashion house, Versace. The Company intends to sell a stake of 15% to 20% in order to fund its international growth, the sources said.

Finial advisers for Versace, Banca IMI and Goldman Sachs (NYSE: GS), have already asked the “small group of investors that they can proceed with the bidding process,” reported Reuters citing a source close with the development.

The potential minority stakeholders include Italy’s state-owned fund FSI, private equity firm, KKR & Co. (NYSE: KKR), Blackstone (NYSE: BX), Clessidra, Permira, Ardian and Bahrain’s Investcorp.

When contacted by Reuters, Blackstone, Clessidra, Ardian and FSI declined to comment while KKR, Permira and Investcorp did not respond immediately.

Meanwhile, one source said that the Italian fashion house was yet to short list potential bidders and it was unlikely do so before the year-end probably because the company is accepting the expression of interest. One source said that Versace has informed potential bidders that the deadline for expression of interest is November 30, which was subject to a change.

Earlier in September, Versace CEO, Gian Giacomo Ferraris said that the company was likely to finalize the list of potential bidders by mid-October.

Versace is entirely controlled by Versace family. Donatella Versace, who is the sister of late founder Gianni Versace, holds 20% stake; brother Santo has 30% stake while niece Allegra controls 50% stake in the company.








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edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.

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Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

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