Versace deal with Blackstone values group at 1 bln euros

MILAN Thu Feb 27, 2014 5:02am EST

MILAN Feb 27 (Reuters) - Italy's Versace said on Thursday it had signed an agreement with Blackstone that will see the U.S. private equity firm take a 20 percent stake in the fashion house in a deal valuing the group at one billion euros ($1.37 billion).

Blackstone will inject 150 million euros of fresh capital into Versace and will also buy 60 million euros of shares from family holding company GIVI Holding, the fashion house said.

The deal implies a total enterprise value for Versace of one billion euros.

The Versace family will remain at the heart of the company, the company said.

Versace said it expected to see an 18 percent rise in its 2013 revenues to nearly 480 million euros, while core earnings should increase by over 50 percent to at least 69 million euros.

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