LONDON — French luxury goods group PPR said Tuesday that it had reached an agreement to buy the Italian men’s fashion brand Brioni for an undisclosed fee.
PPR, whose brands include Gucci and Yves Saint Laurent, said the acquisition would help build its market share in luxury menswear. Suit maker Brioni has a number of famous clients, including Vladimir Putin and the James Bond character.
While PPR’s chief executive, François-Henri Pinault, didn’t say how much PPR paid for Brioni, analysts have valued the company around $450 million. Brioni’s revenue totaled $234 million last year, and the company reported a profit in 2010.
“Brioni boasts top quality craftsmanship and is synonymous with Italian masculine elegance,” Mr. Pinault said in a statement. “We have great ambitions for this fashion house. We will give it access to our expertise and know-how, so that it can write a new page in its history while continuing to preserve its identity.”
PPR plans to fund the acquisition through cash raised through recent disposals, Mr. Pinault added.
In early afternoon trading in Paris, shares of PPR rose 3.4 percent.
The acquisition is part of the company’s push to consolidate its leading place in the luxury fashion business. On Oct, 26, France’s PPR reported a 7 percent annual increase in third quarter revenue, to $5.4 billion on the back of strong growth in its luxury goods and lifestyle businesses.
