Michael Kors is Acquiring Versace in a Sexy, $2 Billion Deal

Michael Kors wants to ramp up its sex appeal. The New York-based brand is rumored to be closing a $2 billion (USD) deal to acquire Versace, as of Monday. Kors has been aggressively snapping up other brands to build its fashion portfolio. Last year, the company bought maker of expensive high heels, Jimmy Choo, for $1.2 billion.

Shop Jimmy Choo’s:


JIMMY CHOO

LANCER 65 Black Fine Glitter Leather Pointy Toe Pumps

$850



JIMMY CHOO

HURLEY 100 Gold Liquid Mirror Leather Two-Piece Knee High Booties

$1,795



JIMMY CHOO

RACHEL FLAT Navy Velvet Mules with Peony Crystal Embroidery

$1,050


If the deal pans out, announcements could be made as early as this week, according to Reuters. Apparently, Blackstone, a private U.S.-based equity group, wants to divest itself of its 20% stake in Versace after underperformance. Versace only recently became profitable as of last year, after a loss of 7.9 million euros the previous year. Basically, the brand only recently started to recover from a slump.

When you look at Blackstone’s portfolio, though, it’s easy to see that their main focus isn’t on fashion. Perhaps, with the help of Kors, Versace could see real growth. But of course, not without the help of Donatella and her family, who will remain involved in the company if the deal pans out. It goes without saying that Versace without Donatella and Gianni’s legacy is worth next to nothing, though.

Shop Versace:


VERSACE

Bras

$249 $94



VERSACE

Straight-leg trousers

$675 $405



VERSACE

Handbags

$390 $269


In the words of Donatella herself, “Creativity comes from a conflict of ideas,” which is exactly what we’re expecting from this sexy partnership. Versace is brand built on overt sensuality, whereas Michael Kors has built his legacy on defining “affordable luxury.” The intersection between these two brands will be interesting to watch play out.

Shop Michael Kors:


MICHAEL KORS

Ruched Matte-Jersey Wrap Dress

$590.63



MICHAEL KORS

Sandals

$770 $577



MICHAEL KORS

Kiki Medium Leather Shoulder Bag

$519.75


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