Moncler says it is going “beyond fashion” and “beyond luxury” through an agreement in principle to merge with Stone Island, an Italian brand of casual sportswear. It is also going beyond its roots in sports. As Moncler puts it, the two brands want to strengthen their ability to interpret the evolving cultural codes of the new generations based on a new concept of luxury that “embraces the search for experientiality, inclusivity, a sense of belonging to a community and the mixing of diverse meanings and worlds including those of art, culture, music and sport.” In particular, Moncler plans to help Stone Island to expand internationally, especially in the Americas and Asia, and through the direct-to-consumer (DTC) channel. Carlo Rivetti, who will continue to run Stone Island independently, and other shareholders of its parent, Sportswear Company, are set to receive the equivalent of €1,150 million in cash and shares. This is based on multiples of 16.6 times Ebitda in 2020 and 13.5 times Ebitda in 2021 for Stone Island, whose revenues were nearly flat last year at €240 million. Only 20 percent of them were generated outside Europe.