Missoni bought by Italian firm
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The Missoni family has relinquished its hold on maintaining full ownership if its namesake Italian label, confirming that FSI Mid-Market Growth Equity Fund will take a minority holding in the brand.
Coinciding with the kick-start of Milan fashion week for men last week, the Italian government-backed firm has acquired a 41.2% stake. The Missoni family will continue to have a majority hold with 58.8% of the shares.
The operation sees a capital increase, worth 70 million euros, and no financial debt for Missoni. The funds are a welcomed boost for the brand, with plans to use the cash to fuel international expansion, product development and retail overhauls in key markets such as China.
Managerially, Michele Norsa, industrial partner of FSI, will become vice president of Missoni. Angela Missoni will hold the role of president and while Missoni matriarch Rosita retain the title of honorary president.
“Our goal was to leave a healthy company in the hands of the third generation,” said Angela Missoni, who is also the brand’s creative director.
FSI is controlled by Italian state lender Cassa Depositi e Prestiti, which is majority-owned by the Treasury. It is the fund’s first investment in the fashion sector.
In 2016, the company’s most recent annual figure, Missoni reported consolidated sales of 63.4 million euros, with licenses making up 10.9 million euros of total sales.
Exports accounted for 74 percent of sales. The company, known for its mult-coloured prints, counted five boutiques in Italy and six outside the country, as well as two outlets in Italy.
Questions & Answers
Q.What is the new ownership structure of Missoni following this acquisition?
What is the new ownership structure of Missoni following this acquisition?
The Missoni family now holds a 58.8% majority stake, while FSI Mid-Market Growth Equity Fund has acquired a minority holding of 41.2%. This is a shift from the family's full ownership of the namesake Italian label.
Q.How will the 70 million euros from the capital increase be utilised by Missoni?
How will the 70 million euros from the capital increase be utilised by Missoni?
The 70 million euros will be used to fuel the brand's international expansion, support product development, and finance retail overhauls. Key markets like China are specifically targeted for these improvements and growth initiatives.
Q.Which individuals will hold key leadership roles in Missoni after the investment?
Which individuals will hold key leadership roles in Missoni after the investment?
Angela Missoni will continue as president and creative director. Michele Norsa, an industrial partner from FSI, will become vice president. Missoni matriarch Rosita will retain her title as honorary president of the company.
Q.What were Missoni's financial results in its most recently reported annual figures?
What were Missoni's financial results in its most recently reported annual figures?
In 2016, Missoni reported consolidated sales of 63.4 million euros. Of this, 10.9 million euros came from licenses, and exports represented 74 percent of the total sales figure for the year.
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