Singapore's Temasek fund acquires 10 percent of Ermenegildo Zegna Group

A few hours before announcing its results for the first half of 2025, Ermenegildo Zegna Group announced that the Asian fund Temasek Holdings (through its subsidiary Venezio Investments Pte. Ltd) is acquiring a 10 percent stake in the fashion house.

In a statement, Ermenegildo Zegna Group and Temasek explained that they have signed a share and investor rights purchase agreement. Under this agreement, the Italian group will sell 14.1 million of its own shares to the Singapore-based investment company at a price of 8.95 dollars per share.

International growth partnership for the New York-listed company founded by Ermenegildo Zegna

Upon closing of the transaction, Temasek will hold a total of 26.8 million shares. This represents 10 percent of Ermenegildo Zegna Group's outstanding ordinary shares. Temasek previously acquired 12.7 million shares on the market. Upon completion of the purchase, Ermenegildo Zegna Group will receive 126.4 million dollars in cash. Nagi Hamiyeh, Temasek’s head of EMEA, is expected to join the group’s board of directors in June 2026. The transaction is expected to close by tomorrow, 30 July.

The partnership aims to support the international growth of the company founded by Ermenegildo Zegna. The management explained that the transaction “will strengthen the group’s balance sheet at a time when the management is well positioned to capitalise on the strong momentum of its brands. The increased financial flexibility will allow the group to carefully seize select opportunities to accelerate the organic growth of the current brand portfolio. Temasek’s extensive experience in the luxury sector and deep knowledge of the Asian market will contribute to Ermenegildo Zegna Group’s growth prospects. This will support expansion in key geographies where the group’s presence is still underdeveloped.”

“I am delighted to welcome Temasek as a strategic investor in our group’s shareholding base,” said Ermenegildo “Gildo” Zegna, chairman and CEO of Ermenegildo Zegna Group, in the statement. “Their investment represents strong support for our vision and long-term growth potential, while recognising the global importance of the Italian luxury sector. With Temasek’s partnership, we are even better positioned to help strengthen our organic expansion globally and to consolidate our unique role as custodians of authentic brands.”

“The investment in Zegna underscores our ongoing commitment to supporting leading European companies with solid expertise and global potential,” added Hamiyeh in the statement. “We look forward to being a careful, long-term partner for the Zegna family and the management team, enabling them to implement their growth strategy and supporting their vision to elevate their iconic brands and global presence.” Temasek is a global investment company headquartered in Singapore with a net portfolio value of 434 billion Singapore dollars (299 billion euros) as of 31 March 2025.

Ermenegildo Zegna Group was assisted by UBS AG and Sullivan & Cromwell LLP as financial and legal advisors, respectively.

This article was translated to English using an AI tool.

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