Prada announced Tuesday the completion of its acquisition of Versace, the Italian house the luxury brand has long coveted.

Prada signed a definitive agreement in April to buy Versace from US-based Capri Holdings for about 1.3 billion euros. The acquisition came after Capri’s sale to Tapestry was cancelled due to concerns from competition regulators.

Lorenzo Bertelli, son of Prada owners Muccia Prada and Patricio Bertelli, told Reuters in November that he would take over as executive chairman of Versace once the merger is completed. He said Prada had been pursuing the deal for several years.

“There had already been contacts during the COVID pandemic, and there were discussions before the sale of Capri to Tapestry. When the deal didn’t go through because of competition problems, we went back and tried to speed up the process,” Bertelli said.

Versace, founded in 1978 by Gianni Versace in Milan, is known for its bold aesthetic. The brand will be integrated into Prada’s two main brands – the eponymous Prada and the smaller but fast-growing Miu Miu – marking a major strategic shift for the Italian fashion house.

Bertelli, who pushed hard for the takeover, said Versace met two key conditions: that it was not too risky financially and that it was worth it, given that the brand is among the world’s top brands in terms of brand recognition. In March, a few weeks before the Prada deal was announced, Donatella Versace stepped down as artistic director after nearly three decades at the brand’s helm.

Dario Vitale, former design director of Miu Miu, took over her position.