By  on September 10, 2007

MILAN — European private equity group Permira Holdings wrapped up its tender offer for Valentino Fashion Group SpA on Friday, lifting its stake in the Italian fashion company to about 97 percent, based on preliminary tabulations.

Permira's takeover vehicle, Red & Black Lux Sarl, wants to delist VFG from the Milan Stock Exchange, so it will pursue a residual offer and buy out the remaining shareholders.

Before launching its tender offer in July, Permira had already purchased about 60.2 percent of VFG from the Italian company's former shareholders, namely the Marzotto family and VFG chairman Antonio Favrin.

Permira offered all VFG shareholders 35 euros a share, or $47.81 at current exchange. At that price, Permira's price tag for 100 percent of VFG will be about 2.6 billion euros, or $3.55 billion.

The private equity fund, which outbid rival Carlyle Group for control of VFG, has not yet outlined a strategic plan for the fashion company. VFG owns the Valentino fashion house, Hugo Boss AG and holds licensing deals for the M Missoni and Marlboro Classics brands.

VFG is still digesting the news of designer Valentino Garavani's retirement from the house he founded 45 years ago and the naming of Alessandra Facchinetti as creative director.

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