Ermenegildo Zegna Group has teamed up with Prada Group to acquire a majority shareholding in cashmere company Filati Biagioli Modesto S.p.A.
Under the terms of the agreement, the two Italian luxury brands will co-own Filati Biagioli Modesto, with each company holding 40 percent of the cashmere maker’s shares; the Biagioli Family will hold 15 percent of the company and the remaining 5 percent will be owned by Renato Cotto, a manager from Biella with a long career in the sector, who will be appointed chief executive officer. Gildo Zegna – CEO of the Zegna Group – will be appointed chairman, while Franca Biagioli and Patrizio Bertelli – CEO of the Prada Group – will join the board of directors.
“This acquisition is in line with the philosophy that the Prada Group has always pursued: direct control of the entire supply chain to ensure uncompromising quality at every stage of the production process,” said Patrizio Bertelli. “It represents a further strategic investment that allows us to preserve the know-how and century-old tradition of an Italian excellence in the production of fine yarns; it also proves the cooperative attitude between two Italian groups, part of the much-hoped-for goal of a teamwork approach in the Italian fashion industry and Italian manufacturing.”
“The acquisition of historic Italian companies, each specialised in its own product sector, has enabled Zegna over the years to establish a true luxury textile laboratory with the aim of producing the highest quality fabrics and at the same time safeguarding the uniqueness of the Italian supply chain,” added Gildo Zegna. “I am particularly proud of this new acquisition today because, in adding another prestigious company in the field of fine yarns to our textile division, I am joined in this journey by a great entrepreneur of the Italian fashion industry.”