To further ensure its supply chain, Zegna partnered with Prada to buy 40 percent of Italian cashmere maker Filti Biagioli Modesto this year, and Mr. Zegna said the proceeds from the Zegna IPO would be used to further invest in Italian textile manufacturing. can do for
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Control over production has the added benefit of ensuring traceability and consistency, the increasing focus Zegna is attracting from a younger generation of customers. One of the brand’s best-known properties is the Oasi Zegna, a sprawling Italian park in the brand’s hometown, Trivero, Piedmont, created by Zegna’s founder to preserve the local ecosystem that is located in New York’s Central Park (Central Park). 30 times the size of the company). Claims in the Investor Deck prepared for the SPAC). During the interview, Mr. Zegna proudly pointed to their sneakers, made from recycled components, and the fact that the brand now has a program to reconfigure fabric scraps left on the cutting room floor so that they Don’t be wasted now.
But even with quality and supply chain, Zegna, as a public company, will compete with the French giants of luxury, who have spent decades robbing the world’s most famous brands. LVMH Moët Hennessy Louis Vuitton, which has amassed a steady collection of more than 75 brands including Tiffany & Co., Dior and Pucci, has a market capitalization of nearly $400 billion. Kering, which owns labels such as Gucci and Saint Laurent, is worth about $100 billion.
“Part of what we did is because of scale,” Mr Zegna said of the decision to go public. “The scale – that’s our agenda – don’t ask me how big the scale will be, but certainly bigger than what it is now.”
They couldn’t be prepared to discuss future acquisitions, but Zegna took her first step toward that to-do list in 2018 with the acquisition of New York fashion label Thom Browne, whose shrunken suit and ironic preponderance of prepiness. There is a stigma to interpretations. This made it popular with a younger group of customers as compared to the main Zegna customers. Since becoming part of Zegna, the brand has moved into children’s apparel with a strong presence in Korea and China, and plans to expand further, Mr. Zegna said. (Mr. Brown, who remains the brand’s creative head, and Rodrigo Bazán, its chief executive, will join Mr. Zegna to ring the opening bell at the New York Exchange on Monday.)
The 2020 collaboration with haute American streetwear brand Fear of God also helped raise Zegna’s cool factor, and Mr Zegna said there were more limited edition collections like this in the works.
China, which has helped fuel the resurgence of power luxury, remains critical to the growth of the nascent conglomerate, Mr. Zegna said. Although Chinese tourism accelerated the development of the industry before the pandemic, the market has shifted to a local model, Mr. Zegna said. According to Bain, sales of luxury goods in China have doubled since 2019, and the region represents about 21 percent of the total market. Zegna, which moved to China in the 1990s, now conducts about half of its business in the larger region.