Dolce & Gabbana co-founder steps down as chair

Dolce & Gabbana Co-Founder Steps Down as Chairman

Stefano Gabbana, a co-founder of Dolce & Gabbana, has resigned from his position as chairman of the fashion brand he co-established with Domenico Dolce in 1985. The company now faces a financial challenge, with a debt of approximately €450 million, alongside broader issues in the luxury retail market, including reduced consumer spending, notably in China.

Gabbana will remain involved in the creative direction of the brand, working alongside Dolce to develop future collections. This partnership, spanning over three decades, continues to shape the brand’s identity. His exit came on 1 January, following his decision communicated in December. The role was assumed by Alfonso Dolce, Domenico’s sibling and current chief executive of the firm.

Dolce & Gabbana has been exploring new revenue streams, such as the hospitality and furniture sectors, with its latest collection featuring bold designs like a leopard-print porcelain vase priced at £1,084. “The brand is in significant debt,” noted fashion analyst Priya Raj. “As a private entity, Stefano Gabbana holds a 40% stake, as does Domenico Mario Assunto Dolce—its future remains uncertain.”

Earlier this year, reports indicated the company had enlisted a financial advisor and engaged in discussions with creditors. A recent statement from the firm stated, “Negotiations with banks are ongoing, so no formal update is available at this time.” Raj emphasized that the brand has navigated social media criticism, most recently during a Milan Fashion Week event where a majority white model cast sparked controversy.

Celebrity Bella Hadid voiced her discontent on social platforms, yet Raj pointed out that the brand’s “sexy Sicilian aesthetic has endured despite market shifts toward minimalism.” She suggested the core issue lies in the company’s financial management, advocating for potential external investment or strategic alliances to stabilize operations.

Founded in Milan, Dolce & Gabbana gained fame through high-profile collaborations. A pivotal moment occurred in the 1990s when Madonna chose the brand for her “Girlie Show” tour, creating costumes for the album “Erotica.” This association helped define the brand’s reputation for bold, sensual style while also offering consumer-friendly products like sunglasses and perfume.

The firm described Gabbana’s departure as “a natural progression in the company’s structural evolution and governance.” This change follows a series of challenges, including recent controversies and a need to adapt to evolving market conditions.