Dolce & Gabbana co-founder quits and mulls selling stake
The founder of the leading Italian fashion house, Dolce & Gabbana, has quit the label and is considering flogging his stake altogether.
Stefano Gabbana resigned as chairman in December, according to Italian corporate filings.
The fashion mogul founded Dolce & Gabbana in 1985 with his then-partner Domenico Dolce, and the pair had remained in charge of its creative direction – though Gabbana’s exit could signal a creative pivot for the fashion house.
Gabbana’s resignation kicked in on 1 January, leaving chief executive Alfonso Dolce – the brother of co-founder Domenico – to be appointed as the new chair.
Gabbana could follow up his exit as director, first reported by Bloomberg, by selling off his 40 per cent holding in the firm.
Dolce & Gabbana refinances £450m debt
Domenico Dolce also holds a 40 per cent stake in the fashion house, with the remaining shares held separately by Domenico, Alfonso and their sister Dorotea.
Dolce & Gabbana has been hit by the longstanding slump facing the luxury sector and is finding it harder to meet the terms governing its debt, according to reports.
The fashion house’s lenders are looking for an extra £150m as part of a refinancing of £450m of its debt, sources close to the firm told Bloomberg.
The company’s refinancing is being advised by financial services firm Rothschild & Co.
Dolce & Gabbana is also set to appoint former Gucci chief executive Stefano Cantino to a top management role as it revamps its top team.
The fashion house is renowned for its Mediterranean aesthetic and produces ready-to-wear clothing, handbags, accessories, and fragrances.
Fashion house’s UK losses widen
The firm has expanded into homeware and hospitality in recent years, developing co-branded ranges with Italian companies in industries including food, glassmaking, home decor and textiles.
Dolce & Gabbana’s UK arm, which is headquartered in Worthing, has reported six consecutive losses in recent years.
The division’s pre-tax loss widened by 10 per cent to £2.4m in the year to March 2025, according to its most recent filings.
Turnover fell by 11 per cent to £28.7m as it closed two stores, leaving it with eight across the UK.