A big equity fund, Permira, has become the largest shareholder of Valentino Fashion Group, which owns 51 percent of Hugo Boss. It has bought a 29.6 percent stake in the Italian fashion house for €782.6 million and has been allowed to conduct due diligence in view of a bid for the remaining shares. Another equity fund, Carlyle, has indicated that it is studying a possible counterbid at a higher price or the acquisition of other companies that jointly own nearly 40 percent of Valentino’s shares. Hugo Boss has predicted increases of 12-15 percent in profits and 8-10 percent in revenues for this year. Its business with footwear and accessories grew by 28 percent last year to €151 million, contributing to total sales of €1,496 million that generated a profit of €129 million.