since 1997 after the tragic murder of her brother, Gianni Versace, the brand’s founder. “Championing the next generation of designers has always been important to me,” Donatella said. “In my new role as chief brand ambassador, I will remain Versace’s most passionate supporter.”  ‘A thoughtful succession plan’ John D Idol, chairman and CEO of Capri Holdings, described Donatella’s transition as part of a “thoughtful succession plan” for the house. “It was essential that Donatella stepped aside for this hire to happen,” Mathew Dixon, partner at DHR Global, told Inside Retail. “Versace has looked at this role before and offered it to Kim Jones and Glenn Martens back in 2018.”  “Neither would accept as Donatella would have remained actively involved behind the scenes, making it impossible for them to design autonomously.” Vitale, 41, is a graduate of Milan’s Istituto Marangoni and has an extensive background in luxury fashion. He worked at Dsquared2 and Bottega Veneta before joining Miu Miu in 2010, where he collaborated closely with Miuccia Prada and Fabio Zambernardi. His influence at Miu Miu has been widely recognised, with his recent work solidifying him as one of the industry’s rising design stars. “After his recent success at Miu Miu, Vitale’s stock had risen and he was breaking through as the next generation of design leaders. His name had been discussed as a potential artistic director for both Gucci and Fendi. For Versace to land him is a coup for the brand,” Dixon said.  The designer left Miu Miu in late January.  Potential acquisition  Vitale’s appointment comes amid reports that Prada Group is nearing a deal to acquire Versace for approximately $1.5 billion. If finalised, the acquisition would bring together two of Italy’s most iconic luxury fashion houses and, in a twist of fate, see Vitale returning to Prada under new circumstances. “The connection of Vitale moving back into the Prada fold is intriguing. He would have entered conversations with Versace before Prada signed an exclusive agreement as a potential buyer. He had worked at Prada for a long time and left amicably, so there is no politics to overcome. The brand would operate separately, he would have his own team and he would have insisted on full creative autonomy,” Dixon said. According to Bloomberg, the deal could be sealed “within weeks,” although sources caution that the final pricing and timing remain fluid. “The hiring of Vitale immediately adds economic value to Versace, whether the business is sold or not. Its value as an acquisition rests on whether it can be revived as a luxury house and that looked doubtful under Donatella given the many years of decline,” Dixon said.   “With Vitale at the helm, the rhetoric changes to one of optimism and curiosity around what will he do with the heritage. Suddenly, Versace looks like a very exciting proposition, and there will be a lot of eyes on the first show.” Capri Holdings acquired Versace in 2018 for approximately €1.85 billion, including debt. Since then, the brand has faced challenges in maintaining consistent growth, with recent financial reports painting a concerning picture. In the final three months of 2024, Versace generated $193 million in revenue, down 15 per cent from the same period a year earlier. The brand is expected to post losses for the current financial year before breaking even in the next. Founded in 1978, Versace has a network of 230 owned boutiques and more than 400 licensed stores worldwide. The brand is part of Capri Holdings, which also owns Jimmy Choo and Michael Kors. Further reading: How Prada’s strong year sets the stage for potential Versace acquisition.