Prada, Zegna acquire minority stake in knitwear firm Fedeli

Prada SpA

06/06/2023 19:45

June 6 (Reuters) - Prada and Ermenegildo Zegna on
Tuesday said they have acquired a minority stake in Luigi Fedeli
e Figlio, highlighting the importance of high-quality knitwear
in the luxury segment. 
    The luxury fashion groups will each acquire a 15% stake in
knitwear company Fedeli, while Luigi Fedeli, the current chief
executive, will retain a majority ownership of 70% and continue
serving in his current role.
    Other details about the transaction were not disclosed. 
    Italy, renowned for its rich heritage of intricate
craftsmanship, is home to numerous small manufacturers that
dominate the global production of luxury clothing and leather
goods. 
    Fedeli, established in 1934 in Monza, Italy, has remained
under the stewardship of the Fedeli family for three
generations. The brand has gained acclaim for its knitwear and
premium yarns. 
    "This agreement ... represents a strategic investment to
preserve the know-how and tradition of Italian excellence in
fine yarn," Patrizio Bertelli, Prada Group chairman, said in a
statement.
    Gildo Zegna, the top boss of Zegna, and Bertelli will be
appointed to the board of Fedeli, the companies said in a joint
statement. 

 (Reporting by Akriti Sharma in Bengaluru; Editing by Mark
Porter)
 ((Akriti.Sharma@thomsonreuters.com;))