Luxury conglomerate Kering has postponed its acquisition of Italian fashion house Valentino until at least 2028, as Kering aims to reduce its debts.
Valentino is currently owned by Qatari investment fund Mayhoola. Kering agreed to buy Valentino in 2023, and acquired a 30% stake at that time.
“The current ownership structure of the House of Valentino will not change before 2028 at the earliest,” wrote Kering and Mayhoola.
“As a new chapter at Valentino has opened with the appointment of Riccardo Bellini as CEO, Kering and Mayhoola confirm their strategic partnership to support the development of the iconic Italian luxury House and remain entirely committed to its long-term success.”
Mayhoola’s put options to sell its 70% stake in Valentino to Kering have been postponed from 2026 and 2027 to 2028 and 2029. Kering’s call option to acquire Valentino will be deferred from 2028 to 2029.
Kering, which also owns Gucci and Yves Saint Laurent, reported a 46% year-over-year fall in net income last half. It had EU€9.50 billion in net debt, and saw revenue drop by 16%.
Incoming Kering CEO Luca de Meo has said the company will begin implementing plans to reduce its debt and reorganise its brands by the end of the year.
Kering estimated in July that acquiring Valentino would cost around €4 billion, with potential adjustments based on Valentino’s performance.
Valentino posted a net loss of €31 million in 2024, while revenue declined by 3% to €1.31 billion. Valentino named Bellini as its CEO last month.
Kering’s (EPA: KER) share price closed at €239.15, up from its previous close at €233.50. Its market capitalisation is €30.00 billion.
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