Versace to Award Management Stock as IPO Plan Remains on TrackAndrew Roberts
Italian fashion house Gianni Versace SpA will award management about 0.3 percent of the company’s stock when it sells shares in an initial public offering, according to Chief Executive Officer Gian Giacomo Ferraris.
“There’s no fixed date” for an IPO, Ferraris said by phone. “As soon as we can, we will go forward.”
Italy’s Corriere della Sera reported earlier on Wednesday that the company controlled by the Versace family had allocated managers and advisers as much as 4 percent of the business. The maker of 790-euro ($899) sneakers and 5,200-euro dresses is worth more than the 1.14 billion-euro valuation reported by the newspaper, Ferraris said. He confirmed the approval of a 2 million-euro capital increase.
Versace last year sold a 20 percent stake to Blackstone Group LP in a deal valuing the business at about 1 billion euros. The Milan-based company could sell shares in an IPO by the end of next year and is on track to generate annual sales of at least 800 million euros by 2017, Ferraris told Bloomberg News in March.
While Ferraris and his team are monitoring the market situation after China’s surprise devaluation of the yuan, Versace’s strategy remains unchanged, the CEO said. The fashion house is growing in every region, including China, and is well-balanced geographically, he said.
Versace revenue was 548.7 million euros in 2014, while earnings before interest, taxes, depreciation and amortization were 67.6 million euros.
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