The Mariella Burani Fashion Group, based in

Cavriago Cavriago ( Reggiano: ; locally ) is a ''comune'' (municipality) in the Province of Reggio Emilia in the Italian region Emilia-Romagna, located about northwest of Bologna and about west of Reggio Emilia. Cavriago borders the municipalities of B ...

, was a clothing, jewelry and

watches A watch is a portable timepiece intended to be carried or worn by a person. It is designed to keep a consistent movement despite the motions caused by the person's activities. A wristwatch is designed to be worn around the wrist, attached by ...

company. Founded in 1960 by Walter and Mariella Burani, it became a public company listed on the stock exchanges of

Milan Milan ( , , Lombard: ; it, Milano ) is a city in northern Italy, capital of Lombardy, and the second-most populous city proper in Italy after Rome. The city proper has a population of about 1.4 million, while its metropolitan city h ...

and

London London is the capital and largest city of England and the United Kingdom, with a population of just under 9 million. It stands on the River Thames in south-east England at the head of a estuary down to the North Sea, and has been a majo ...

. In February 2010 the company declared bankruptcy.

History

Foundation

In 1960 Walter and his wife Mariella founded the company with the purpose of the production and distribution of

children's clothing Children's clothing or kids' clothing is clothing for children who have not yet grown to full height. Children's clothing is often more casual than adult clothing, fit for play and rest. In the early 21st century, however, childrenswear became ...

. After the rise of

prêt-à-porter Ready-to-wear (or ''prêt-à-porter''; abbreviated RTW; "off-the-rack" or "off-the-peg" in casual use) is the term for ready-made garments, sold in finished condition in standardized sizes, as distinct from made-to-measure or bespoke clothin ...

for women in the 1970s, the company began to export abroad in the 1980s, and expanded into other lines of clothing, as well as by opening stores.

IPO and expansion of the Group

In July 2000, it was announced that the company would be entering the

Milan Stock Exchange Borsa Italiana, based in Milan, is the Italian stock exchange. It manages and organises domestic market, regulating procedures for admission and listing of companies and intermediaries and supervising disclosures for listed companies.italy24.ils ...

. The shares were sold for 7 euro each on 13 and 14 July 2000. From 2000 to 2007 the group opened many new stores and made a number of acquisitions, including stakes in several companies in the leather industry, including

Braccialini Braccialini is a leather accessories company founded in 1954 and based in Florence, Italy. The company operates in 40 countries with 50 mono-brand stores globally. History The image of a rose forms the brand's logo because of Carla’s love ...

and

Baldinini Baldinini is an Italy-based brand specialising in luxury shoes in the manufacturing district of Rubicone province of Forlì-Cesena, Italy. History The company began in 1910, in the town of San Mauro Pascoli, which is recognised around the w ...

Coccinelle Jacqueline Charlotte Dufresnoy (23 August 1931 – 9 October 2006), better known by her stage name Coccinelle, was a French actress, entertainer and singer. She was transgender, and was the first widely publicized post-war gender reassignment ca ...

, the aim being to cover different geographical areas, as well as offering a range of products.

Crisis and failure

By the summer of 2008 the value of the shares Mariella Burani had declined drastically, by 28 August 2009 they were valued at 2.522

euro The euro ( symbol: €; code: EUR) is the official currency of 19 out of the member states of the European Union (EU). This group of states is known as the eurozone or, officially, the euro area, and includes about 340 million citizens . ...

each. On 31 August the

Italian Stock Exchange Borsa Italiana, based in Milan, is the Italian stock exchange. It manages and organises domestic market, regulating procedures for admission and listing of companies and intermediaries and supervising disclosures for listed companies.italy24.i ...

announced that Mariella Burani FG ordinary shares were suspended from trading indefinitely. On 11 January 2010, the prosecutor in

filed a petition for bankruptcy for Mariella Buran]. On 11 February, the Court of Milan declared the failure of Burani Designer Holding, Diego Moscato was appointed as liquidator and on 26 Feb he resigned the entire board of directors On 28 July 2010, the financial police of

Reggio Emilia Reggio nell'Emilia ( egl, Rèz; la, Regium Lepidi), usually referred to as Reggio Emilia, or simply Reggio by its inhabitants, and known until 1861 as Reggio di Lombardia, is a city in northern Italy, in the Emilia-Romagna region. It has abou ...

arrested Walter Burani and his son John on charges of fraudulent bankruptcy. His father Walter was placed under house arrest while his son Giovanni was held in custody in San Vittore. On 26 September, Giovanni Burani was also placed under house arrest.

Shareholders

* 74,223% Walter Burani * 2,908%

Lehman Brothers Holdings Inc Lehman Brothers Holdings Inc. ( ) was an American global financial services firm founded in 1847. Before filing for bankruptcy in 2008, Lehman was the fourth-largest investment bank in the United States (behind Goldman Sachs, Morgan Stanley, an ...

* 2,056% Powe Capital Management LLP

References

{{Portal bar, Economy Clothing companies of Italy Italian companies established in 1960 Italian brands Watch manufacturing companies of Italy