Etro was LVMH's €500M bet — then the founding family fled at a loss

Etro was founded in 1968 by Gimmo Etro as a textile and fashion house in Milan. It became one of Italy's most distinctive luxury brands, renowned for its signature paisley prints, bohemian aesthetic, and family-run identity. By 2018, the brand reported revenue of approximately $372 million and operated in dozens of countries.

In July 2021, L Catterton — the private equity firm backed by LVMH — acquired a 60% stake in Etro at a valuation of approximately €500 million. The founding Etro family retained 40%. L Catterton appointed Fabrizio Cardinali as CEO and, in 2022, brought in Marco De Vincenzo as the first creative director from outside the family. The plan was to modernise the brand and accelerate international growth.

Four years later, the turnaround had not delivered. In December 2025, the founding family sold its remaining stake and fully exited the company. A consortium including Rams Global (Turkey), Swinger International (Mathias Facchini of Genny), and SRI Group acquired the family's shares. L Catterton's stake was diluted to approximately 51% following a capital increase. The dream of a PE-fueled luxury renaissance ended with the founding family gone and the brand searching for its next chapter.