Singapore state investment company Temasek plans to raise its stake in Italian luxury fashion house Ermenegildo Zegna to up to 10%, two sources familiar with the matter said on Tuesday.
Temasek already owns just under 5% of Zegna and would acquire another 5% in treasury shares, one of the sources said.
The transaction will bring additional money to the company, the second source added, defining it “a purely financial deal”.
Zegna currently has a market capitalisation of around $2.3 billion.
Temasek will get one non-executive seat in the fashion house’s board of directors next year, the sources said, adding that an announcement is expected later in the day.
Temasek and Zegna declined to comment.
Reuters
