Italian textiles group Ermenegildo Zegna has acquired 70% of Guida di Parma, a small leathergoods firm that produces goods for the Longhi label.

The managing director of the Ermenegildo Zegna Group, Gildo Zegna, said that Guida di Parma was solvent, making good profits and had a turnover of Euro14 million in 2001. Mr Zegna made assurances that the Longhi label would remain "totally independent", but said that there were plans to develop the brand.

In 2001 the Ermenegildo Zegna Group posted turnover up 7% to Euro677 million, with a net profit of Euro50 million.