MILAN Aug 5 Talks between Italian designer
Roberto Cavalli and private equity fund Clessidra over a stake
in the fashion house have been broken off, a source close to the
matter said on Wednesday.
Cavalli, known for his animal print designs and flowing long
dresses, told an Italian newspaper in June he had signed a
letter of intent to sell a 30 percent stake to the Italian fund
and Sept. 30 was the deadline to set an exact price.
"Talks have been broken off. It's seems a definitive stop,"
the source said.
There was no immediate comment from Cavalli. Clessidra
declined to comment.
Il Sole 24 Ore newspaper said the talks fell through because
the parties disagreed on the value of the company. Corriere
della Sera daily said the sore spot was the need for a capital
increase and then Clessidra taking a majority stake.
Cavalli has already previously put plans to sell a stake on
hold. In May he said he was no longer convinced selling a stake
was a right move but then signed the letter of intent with
Clessidra in June.
The designer's bold prints have won him fans among
celebrities such as the Spice Girls and Paris Hilton.
(Reporting by Massimo Gaia; Writing by Marie-Louise Gumuchian)