Lingerie: La Perla saved, reinstates all its workers
The new American owner of La Perla, Peter Kern, has managed to save all the jobs at the Italian brand. This news means that the famous luxury lingerie brand can reopen its factory in Bologna after two years of serious financial difficulties.
Like a Christmas miracle! The luxury lingerie brand La Perla, which was declared bankrupt last year by an Italian court, can once again believe in its revival.
Bought out at the last minute this summer, along with its workshop, by the former vice president and CEO of Expedia, billionaire Peter Kern, through his holding company Luxury Holding, the company has managed to save its 200 jobs. This will enable it to restart its historic production site.
Full reinstatement of the “Perlines”
On December 1, all the workers at the historic Bologna factory of the lingerie house on Via Mattei were able to return to work. 200 “Perlines” were thus able to rejoin La Perla Atelier.
The news was shared in a statement by the Filctem-Cgil union in Bologna and the Uiltec-Uil union in Emilia-Romagna and Bologna. “This is a step that puts an end to more than two years of uncertainty, a period marked by sacrifice and fear, but also by unwavering determination. The workers, accustomed to sewing true works of art for the luxury sector, appreciated internationally, have together maintained what financial speculation was dismantling piece by piece,” they said.
“The signing of the contracts and the return of all La Perla workers to the company bring an end to a long and complex conflict, which Mimit has followed from the outset with great attention and a sense of responsibility,” said Minister of Enterprise Adolfo Urso. We have fulfilled all our commitments, winning a battle that seemed impossible and giving this global icon of Made in Italy fashion a new industrial and professional future.”
A slow revival
Founded in 1956 by corset maker Ada Masotti, La Perla was then run by the founder’s son, Alberto Masotti, until it was sold to US private equity firm JH Partners in 2007. In 2013, Italian businessman Silvio Scaglia, founder of telecommunications operator Fastweb, acquired the lingerie specialist for €69 million ($79 million) through his family holding company Pacific Global.
Despite the company’s acquisition in 2018 by Tennor Holding BV, another investment fund, then known as Sapinda, led by German businessman Lars Windhorst, the company failed to recover. On the contrary, it even ran into trouble with the British tax authorities, who had demanded its liquidation for non-payment of taxes.
La Perla thus went from a turnover of €250 million at the turn of the 2000s to revenues of €13 million in 2022… with losses of €5 million! At the same time, its workforce shrank from 1,500 to 210 employees.
Burdened by debt, the lingerie house nevertheless attempted to find new sources of revenue and open up to a wider customer base. In 2019, it diversified into beauty products for a time through a new subsidiary (La Perla Beauty), while also branching out—more permanently—into swimwear and loungewear.
The company was even one of the first to sell its products on Amazon Luxury Stores, the luxury retail space of the giant Amazon. The company also invested $50 million in the British fashion house Ralph & Russo, which is now closed. And last year, the lingerie brand was declared bankrupt by an Italian court, leading to the appointment of three judicial administrators.
Its white knight, billionaire Peter Kern, now gives it hope of continuing to showcase its Italian savoir-faire and glamour.
Read also > American billionaire Peter Kern comes to the rescue of La Perla
Featured photo: © La Perla
