Illustration: Gabriella Turrisi/Axios
Italian fashion houses Prada and Ermenegildo Zegna will acquire a minority stake in knitwear maker Luigi Fedeli e Figlio.
Why it matters: The groups say they are committed to preserving and growing the Made in Italy brand by shoring up its supply chain and keeping it close to home.
- Supply chain investment has been a key focus for retailers to improve efficiency as they navigate global shocks and environmental and social concerns.
Details: The fashion groups will each acquire a 15% stake in the company.
- CEO Luigi Fedeli will retain his 70% majority ownership and continue serving in the role.
- Terms weren’t disclosed.
Of note: "This operation reflects the philosophy that our group has always pursued: direct control of the supply chain at every single stage of the production process, which also allows us to speed up on traceability of raw materials and on the transparency of our supply chain," said Patrizio Bertelli, Prada’s chairman, in a statement.
Catch up fast: This is the second time the luxury groups have paired up.
- The first was in 2021 when they acquired a majority stake, of 40% each, in Filati Biagioli Modesto, a maker of cashmere and precious yarns.
Of note: Bertelli and Gildo Zegna, Zegna’s CEO, will join Fedeli’s board, the companies said in a joint statement.
Context: Fedeli, known for its luxury knitwear and premium yarns, was founded in 1934 in Monza, Italy. It has been with the Fedeli family for three generations.
- Its eponymous brand is distributed in 13 mono-brand boutiques and more than 400 multi-brand stores globally.
