In another groundbreaking deal, Michael Kors has decided to place a $2 billion bid on the fashion company Versace so that they can have a better handle over the fashion industry. Versace has garnered a stellar reputation from owning around 80 percent of all Italian fashion houses. Just in 2016 alone, the company did over $800 million in fashion sales. The other 20 percent of the Italian fashion industry belongs to The Blackstone Group who would sell their ownership if the deal were to go through (according to the Wall Street Journal.)
So what are the intentions of handbag maker Michael Kors wanting to extend its grasp over fashion? Well, not only does Kors already own shoemaker Jimmy Choo, but they are looking to create a multi brand, international business that rules over the fashion industry. While there are no words on whether or not the companies are officially going forward, but the rumors seem to be brewing more and more.
WiseDime will be sure to update you when the merger occurs. Some of the consequences of this deal could be increased prices due to a larger monopoly on fashion retail, but for now, watch the full playlist above for all the information thus far.