A newly created high-end Italian fashion firm known as Florence could look to expand into footwear and other accessories in the medium term after having built up a manufacturing hub in clothing, said Francesco Trapani, the chairman of Florence and former chief executive of Italian luxury jeweler Bulgari.

Florence has been set up by Milan-based private equity firm Vam Investments, of which Trapani is also chairman, and the Italian state investment firm Fondo Italiano d’Investimento, in which Italian state-controlled financial institute Cassa Depositi e Prestiti (CDP) owns a 43 percent stake. A consortium comprising Vam, Fondo Italiano d’Investimento and an Italian investment company, Italmobiliare, will own 65 percent of Florence, and the remaining 35 percent will be in the hands of the founding families of three clothing manufacturers Florence is acquiring.

Florence will take full control of outerwear company Giuntini, leather clothing producer Ciemmeci Fashion and knitwear group Mely’s Maglieria. The holding company, which will be managed by Attila Kiss, expects to have revenues of more than €150 million this year and a headcount of 700.

 “We want to add at least one jersey company and one denim company, and we think we have already identified the candidates,” Trapani told the Italian newspaper Corriere della Sera. “Once we have achieved important dimensions in clothing, we could begin to work with accessories; for example, footwear, which has a similar structure to that of clothing producers. But we’re talking about something that might happen in two-three years.”