Prada Group is set to strengthen its foothold in the Philippines through a strategic joint venture with SSI Group, facilitated by its subsidiary, Stores Specialists. The collaboration, named ‘Prada Philippines,’ involves an initial investment of PHP 16.6 million (USD 299,724) by SSI Group and PHP 25 million by Prada Group. The total investment is anticipated to reach PHP 152 million and PHP 228 million upon completion.
Prada Group will hold a majority stake of 60%, with Stores Specialists owning the remaining 40%. The joint venture, slated to commence in early 2024, marks a transition from a franchisee-franchisor relationship to a mutually beneficial partnership, aiming to accelerate the growth of the Prada brand in the Philippines and enhance operational efficiencies.
SSI Group, headquartered in the Philippines, has been Prada’s partner since 2013, currently managing two stores on the outskirts of Manila. With a diverse portfolio of around one hundred brands, including prestigious labels like Balenciaga, Boss, Bottega Veneta, Cartier, Loewe, and Alexander McQueen, as well as mid-range players like Gap, and Spanish groups Inditex and Tendam, SSI Group operates over 550 points of sale.
Prada Group, the owner of renowned brands such as Prada, Miu Miu, and Church’s, experienced a 17% sales increase to €3.344 billion in the first nine months of 2023. Notably, 35% of these sales were generated in the Asia-Pacific region, highlighting the strategic importance of the joint venture in expanding Prada’s footprint in this thriving market.
