"The designer’s reluctance to reduce the lofty valuation he places on his fashion brand” is said to be the cause of the conflict, according to WWD Fashion.
So the tally this week is one Italian brand, Prada, was given a reprieve from the banks (see the MO Down for 5/8), thus making it less attractive now for other investors. And now another cash-strapped Italian brand has lost a potential investment opportunity. If private equity retreats, do the ever-cautious banks even want to go there?
Click here for the latest Reuters report on the Cavalli crisis.