Struggling Italian fashion icon, Trussardi SpA, is on the brink of a transformative deal, marking a pivotal step in its debt restructuring journey. Sources reveal that the brand and select group branches are poised to be acquired by Miroglio Group, a renowned manufacturer and distributor of ready-to-wear products.
Following an extended marketing process with limited interest, this move is seen as a strategic measure to address financial challenges. The proceeds from the sale will be allocated towards repaying existing creditors. However, not all Trussardi stores will be part of this deal, with some facing closure.
While Trussardi has faced prolonged challenges, the current market dynamics suggest a shift in the luxury landscape post-pandemic. Major players like Burberry Group Plc, Richemont, LVMH, and Kering SA have revised profit forecasts due to weakened demand, particularly in key markets such as the US and China.
Owned by QuattroR, an Italian turnaround fund since 2019, Trussardi offers a range of clothing and accessories for both men and women, including belts, bags, and wallets.
Details surrounding the transaction remain subject to approval from the Italian court overseeing Trussardi’s restructuring process.
One of the contributing factors to Trussardi’s restructuring was its exposure to Russia. Sales came to a halt following the Ukraine invasion in early 2022, coupled with subsequent sanctions.