According to the New York Post, Prada is close to a deal to expand with jewelry maker Richemont by selling about a third of the label. This includes holdings like Van Cleef & Arpels, Montblanc and Cartier.
Though the deal is far from going public, sources are claiming that if this deal with Richemont goes through, the duo could create a new fashion powerhouse that would rival LVMH and be better equipped to conquer and expand into fast-growing territories like China and India. Eventually, Richemont could have the possibility of eventually taking control of Prada with a majority investment.
Infamous Prada owners' Miuccia Prada and her husband, Patrizio Bertelli, has $1.7 billion in debt in loans from various designer collaborations, and been trying repeatedly to collect funds for its growth.
"It will be interesting to see how [Bertelli] gets along with Richemont," a notoriously conservative company, said one source close to the negotiations.
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