Luxury retailer SSS Group Inc. said Friday it signed a P380-million joint venture with Italian fashion brand Prada S.p.A.
Under the plan, SSI and Prada will form a company called Prada Philippines Inc. (PPI) to operate existing and future Prada stores in the country.
PPI will be 60-percent owned by Prada S.p.A, while the balance will be held by SSI Group, the latter told the stock exchange.
“The joint venture company is expected to accelerate the growth of the Prada brand in the Philippines and enable operating efficiencies, as SSI and Prada transition from a franchisee-franchisor relationship to joint venture partners,” SSI Group said.
PPI will start operations on Jan. 1, 2024.
SSI’s initial investment is P16.666 million, while Prada would contribute P25 million. SSI said that at the completion of the deal, its total investment in the joint venture company would reach P152 million, while Prada’s would be P228 million.
SSI Group also formed similar partnership with the entity behind Gucci brand in 2022.
SSI Group is the Philippines’ largest specialty retailer, with an established brand portfolio that includes some of the world’s most recognized international brands.
Its brand portfolio covers a wide range of specialty and lifestyle concepts, spanning the luxury, casual and fast fashion, beauty, footwear, home and restaurant categories.