#Italy #Milan #MondeVita #Underscore District #Magliano

MondeVita Expands Luxury Footprint with Underscore District Acquisition

In a significant move to bolster its position within the luxury market, MondeVita has strategically acquired a majority stake in Milan-based brand accelerator, Underscore District. This acquisition marks a pivotal step in expanding MondVita's newly launched Italian luxury platform, which focuses on brand development, retail, and online commerce, while leveraging its robust manufacturing capabilities.

The deal comes on the heels of MondeVita's earlier acquisition of Raffaele Caruso S.p.A, a renowned menswear manufacturer with a strong operational presence in Soragna. Founded in 1964, Caruso has a reputation for producing not just its own brand but also collections for prestigious fashion houses. With a impressive revenue of €34.2 million in 2025 and a workforce of 479, the Caruso acquisition has provided MondeVita with vital industrial expertise in garment production. By bringing Underscore District onboard, MondeVita gains access to advanced brand development, merchandising, and retail operations, creating a powerful synergy that strengthens the entire platform.

Underscore District, founded in 2022 by Edoardo Di Luzio, has quickly established a comprehensive infrastructure that encompasses brand development, financial management, operations, merchandising, and e-commerce strategies. In just four years, the organization has reported over €7 million in revenue in 2025, supported by a distribution network that includes more than 150 retailers worldwide. The addition of this platform seamlessly integrates with the capabilities brought in by Caruso, aligning manufacturing and direct retail under one roof.

At the forefront of this acquisition is Magliano, a brand that exemplifies the creative spirit of contemporary Italian fashion. Established by Luca Magliano in Bologna in 2017, the label has flourished since making its debut on the Milan Fashion Week calendar in 2018 and expanding to Paris Fashion Week in 2026. Recognized for its artistic vision, Magliano clinched the esteemed LVMH Karl Lagerfeld Prize in 2023 and earned a spot in the BoF 500 rankings the same year. Under MondeVita and Underscore District's stewardship, the brand is poised to bolster its organizational and industrial capabilities, including utilizing Caruso’s production facilities to fuel its growth on an international scale.

The acquisition also envelops GR10K, a pioneering brand in technical workwear, and WOK Store, a multibrand retailer acclaimed for its curated selections and deep ties to Milan's artistic community. With a new store opening in 2024, WOK Store is set to enter a new phase of growth that will broaden its multi-brand offerings and diversify into lifestyle products and other new categories.

This strategic maneuver falls within a broader trend of consolidation in the Italian fashion and manufacturing landscapes, driven by a widespread slowdown in luxury demand. Independent designer labels are increasingly seeking partnerships with more substantial entities to secure the necessary capital, infrastructure, and distribution networks to thrive. MondeVita positions itself as a self-sufficient platform capable of acquiring, developing, and enhancing the brands it integrates into its collection. The current market landscape presents a rare opportunity to combine complementary skills, brands, and talent in a unified platform ready to drive the next growth cycle in the industry.

Beyond the fashion sector, Mondevo Tech, the technology arm of the group based in Singapore, stands out for operating a proprietary AI platform. This division comprises 50 engineers and 120 AI developers committed to guiding luxury brands through their transition into the new economy, addressing aspects of design, production, distribution, and customer experience. By managing this critical structure internally, MondeVita can deploy its AI technology in each of its acquisitions, ensuring rapid implementation of its strategies.

This acquisition is merely the beginning of an extensive investment landscape for MondeVita. The group plans to continue acquiring brands and forging new strategic partnerships within complementary segments, with an emphasis on larger businesses capable of propelling the development of a competitive Italian luxury platform on a global scale.

Edoardo Di Luzio will maintain his role as CEO of Underscore District and will also take on a strategic position within MondeVita, focusing on developing synergies within the group’s portfolio and identifying future investment opportunities. According to Hussam Otaibi, the chairman of Mondevo Group, the holding company for MondeVita, “Italy continues to produce the most original and creative talents in the fashion world. We are establishing the platform that will allow them to thrive at home, providing the resources necessary to remain competitive globally.”

As analysts point out, this partnership embodies the entrepreneurial spirit that MondeVita intends to nurture. The company looks forward to not just preserving but enhancing the identity and independence of the brands collaborating under its umbrella, which is a fundamental tenet of the business philosophy that will guide its future endeavors.