Industry News

Prada take out a loan??!!

Would you like 360 million Euros? Prada did!
There’s been a lot of talk among the press since February with prada denying any negotiations of sales of its capital, so why has fashion and retail leader, Prada SpA negotiated a three-year loan? Prada, with a debt of 640 million Euros that accumulated in the 90’s have refinanced this long-standing deal in order to take the company’s retail growth to the next level! In the 90’s, the Prada brand were on a mission with the acquisition of the likes of Helmut Lang, Jil Sander and a hand in Fendi are now back on the mission to expand and grow again! Looking to take over the world, with a plan of 30 new stores with openings in Frankfurt, Prague and Lisbon with a specific Asia focus, expansion is definitely number 1 on the to-do list.

Intercorporate vice president, Armando Branchini to WWD said “Prada is currently undergoing a very positive sales growth, and I believe that by 2013 the return of the company’s retail investment will outdo this loan, especially with today’s cost of money.”

With the company’s valuation between three and four billion euros currently, we can see with these plans this is sure to increase even further over the next 18 months!!