Valentino Going Private, Who's Next?

It looks as though one way or another, Valentino is going to be taken private. WWD (subscription only) reports two private equity firms, Permira and Carlyle Group, are in the bidding. Permira has reportedly done a deal to buy the 29.6 percent of the Valentino Fashion Group, currently owned by a Marzotto family fund and trading of shares has been suspended in anticipation of an announcement. With all the money swirling around private equity funds, bankers are on the prowl for luxury brands and ones traded on the stock exchange are fair game. Bulgari, I'm told, would be an ideal candidate to be taken private next. A large portion of shares are still in the hands of family members, if they can be motivated to sell it would be an easy way to launch an aquisition bid.

Somewhat ironically, as I noted a few weeks ago, we could see no fewer than four luxury public offerings in coming months -- Prada, Aeffe and Ferragamo are all talking about their plans to go public. Savvy shoppers should consider buying the stock as well as the sunglasses.