Edited by Lester Brathwaite on
The Telegraph reports that Valentino has been sold to “an unidentified sovereign wealth fund” for €600 million, around $736 million, though the house has yet to confirm or deny anything.
The “unidentified sovereign wealth fund” could refer to the royal family of Qatar, whom reports suggest are ready to spend some $852 million to acquire the storied Italian brand. Valentino acknowledged over the weekend that it has granted exclusive rights — which expire this month — to a single buyer to negotiate an acquisition of the label, though it would not name said buyer.
“As previously stated, Valentino has seen increasing interest from a number of potential buyers,” Stefano Sassi, chief executive officer of Valentino, told WWD. “The outstanding work and stylistic vision of creative directors Maria Grazia Chiuri and Pier Paolo Piccioli and the constant growth of [the] company’s results have generated great attention towards the brand.”
Valentino was bought by the private equity firm Permira in 2007 for €3.4 billion — about $5 billion — with earnings before interest, taxes, depreciation and amortization (EBITDA) for 2011 up $27.8 to $34.7 million and revenues up 18% to $447.5 million. [WWD, sub req'd]