VERSACE SPA CHANGES STAND ON GIVER STOCK MOVE

MILAN — Gianni Versace SpA, in a statement Wednesday, said the transaction by which it acquired majority control of Giver SpA, the company that distributes the Gianni Versace perfumes, was a capital increase operation, and the investment went directly into the company as fresh capital.
Contrary to what Versace earlier indicated and was reported in these columns on June 29, the company pointed out, “Versace did not buy an additional 25 percent stake in Giver from ICR SpA, but unilaterally underwrote the bigger share in a complex share capital increase operation.”
As reported, Versace now holds 75 percent of Giver. ICR holds the remaining 25 percent stake through a subsidiary called Giamar Srl.
Versace further specified that as a result of the operation, Giver has received $13.2 million (20 billion lire) at current exchange rates in fresh capital.
Of the total, Gianni Versace SpA contributed some $7.9 million (12 billion lire), while ICR put in $2.6 million (4 billion lire). The remaining portion came from the conversion of a short-term loan into equity, said a Versace aide.
“The important point is that there wasn’t a sale and that fresh funds have been invested in the company,” the aide said, noting that Versace has embarked on a strategy of expanding the perfume distribution operation.

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