- Simone Preuss |
Vision Investment Co. LLC, the Dubai-based investment vehicle of millionaire Hussain Sajwani, owner of real estate developer Damac Properties Group, will acquire Italian luxury fashion brand Roberto Cavalli. This ends weeks of speculation that saw several potential buyers, among them German fashion designer Philipp Plein together with private equity firm Blue Skye Financial Partners, US brand management firm Bluestar Alliance, Renzo Rosso's OTB and Damac. The last three presented a binding offer on 14th June, of which the one by Vision Investment has now been accepted.
Vision Investment has already signed a binding agreement to acquire 100 percent of Roberto Cavalli SpA for an undisclosed amount. According to Private Equity News, however, 100 million euros will be paid to creditors and 60 million euros will be invested in relaunching the brand. Though the investment for Damac is far below that of Italian private equity company Clessidra, the current owner, it should not be easy to restore the brand to its former glory.
Hussain Sajwani’s Damac Properties Group acquires Roberto Cavalli
Damac has been working with the Italian luxury fashion house since autumn last year to furnish four of the group's five-star hotels in Dubai. "Through the vibrant spirit of the authentic Roberto Cavalli brand, we intend to respond to market demand for familiar points of contact while offering our guests distinctive experiences," Sajwani commented at the time.
Though details of the acquisition, which has already been approved by the local court, still need to be worked out, such as whether Roberto Cavalli will retain its headquarters and all its employees - which is important to the company - a relaunch of the brand seems certain.
Photo: Roberto Cavalli