The Prada Group has agreed to buy rival Versace from the U.S. luxury group Capri Holdings in a deal valuing the Milan fashion house at 1.25 billion euros ($1.4 billion.) Versace, which was founded in 1978 by the late Gianni Versace,

The Prada Group announced on Thursday that it has agreed to pay €1.25 billion (₱80.3 billion) to acquire Versace, the Italian fashion brand, from U.S. luxury group Capri Holdings. In addition to the Prada and Miu Miu fashion brands,

Prada's management sees untapped potential in Versace’s global brand recognition, aiming to evolve its bold aesthetic and leveraging the group’s platform.