Prada and Zegna Team Up to Acquire an Italian Cashmere Company

Prada and Ermenegildo Zegna have agreed to buy a majority stake in Filati Biagioli Modesto SpA, an Italian cashmere maker. Since the 1960s, the company has specialised in the production of cashmere and other rare fibres. With a cashmere crisis coming, two of the world's most powerful players team up to invest in the world's most desired wool.

Zenga and Filati Biagioli have joined forces to invest in Filati, an Italian knitwear manufacturer. The move comes as cashmere demand outstrips supply. According to Zenga, the move will strengthen its luxury textile laboratory and increase its output of high-quality materials. Filati seeks to save a traditional jewel of Italian manufacture while capitalising on relationships, craftsmanship, and, well, cashmere.