Photo: Rob Innes, Flickr

It’s not very Versace, darling

After weeks of rumours, Versace has announced that it has been purchased for $2.12 billion by Michael Kors Holdings Ltd. The Italian luxury brand has been under the management of founder Gianni Versace’s sister Donatella since his death in 1997.

Michael Kors’ chief executive John Idol said in a press release Donatella would “continue to lead the company’s creative vision”, and believes the company will “grow to over $2 billion in revenues”. However, the ground-breaking decision has received a wide range of reactions across those invested in the fashion industry.

Many lovers of the luxury brand are concerned about the future of Versace and its designs despite Michael Kors Holdings insisting the look of the brand will not change.

“This is a very exciting moment for Versace,” said Donatella about the decision.

“I recognise that this next step will allow Versace to reach its full potential.”

Versace now joins Jimmy Choo and Michael Kors’ own brand as part of the conglomerate. Strategies the company is set to take to improve the brand include increasing the retail footprint from 200 to 300 stores, enhancing marketing and accelerating e-commerce.

Kors is also planning to change its company name to Capri Holdings Ltd.