Prada charts line of business succession, tapping new CEO

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The Prada fashion house began charting a line of succession on its business side, announcing Tuesday that it is tapping a former LVMH executive as its next CEO and confirming that Miuccia Prada will continue in her creative roles.

Andrea Guerra is set to be confirmed by the board next month as the new CEO, succeeding Patrizio Bertelli, who will stay on as chairman. The move is intended as a step toward ultimately handing the reins of Prada Group to Bertelli and Miuccia Prada's son, Lorenzo Bertelli. The younger Bertelli now oversees digital marketing and sustainability.

“This is a fundamental step we have decided to undertake, while completely engaged in the company, to contribute more to the evolution of the Prada Group, and to ease the succession of Lorenzo Bertelli, the future leader of the group,” Patrizio Bertelli and Prada said in a statement. Succession is an issue at Italy's family-run companies, and not only in fashion, and the move appears intend on sending a message to financial markets that a plan is in place. Guerra has longtime experience in a family-run company, serving for a decade as CEO at Luxottica before owner and founder, the late Leonardo del Vecchio, took back day-to-day operations following disagreements.

 

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