Italian luxury fashion house Ermenegildo Zegna has announced a significant leadership change that will see longtime chief executive Gildo Zegna step down from his position in January 2026.
The 70-year-old grandson of the company's founder will hand over daily operational control to current finance director Gianluca Tagliabue, marking a pivotal moment for the family-controlled business.
Leadership Transition Details
Gildo Zegna, who has led the fashion group for two decades, will transition to the role of executive chairman while maintaining oversight of the company's integrated textile production division. This manufacturing capability represents one of Zegna's core competitive advantages in the luxury market.
The leadership change will take effect in January, with Tagliabue becoming only the fourth generation of family leaders to guide the company since its establishment in 1910. Despite stepping back from day-to-day management, Gildo Zegna will remain actively involved in strategic direction.
Market Reaction and Business Performance
Investors responded cautiously to the announcement, with Ermenegildo Zegna shares falling nearly one percent during opening trading in New York. The company maintains significant trading presence in the United States, with 24.6 percent of its stock traded on New York exchanges.
The transition news comes during a challenging period for the luxury group. Recent financial reports indicate turnover declined two percent in the first nine months of 2025 compared to the same period in 2024, reaching 1.33 billion euros ($1.49 billion).
Company leadership attributed this performance to weaker sales in China and underperformance by the Thom Browne brand, which Zegna acquired during Gildo's tenure alongside the Tom Ford Fashion label.
Strategic Vision and Future Plans
Despite current challenges, Zegna maintains ambitious growth targets. The company aims to nearly double its turnover to between 2.2 billion and 2.4 billion euros by 2027.
This expansion strategy focuses heavily on the brand's most loyal customers - wealthy clients who consistently spend more than 50,000 euros annually on clothing. The company believes this core demographic will drive future growth acceleration.
Operational expansion continues with plans to open a new leather factory near Parma in northern Italy during 2026. The company employed approximately 7,400 workers at the end of 2024.
Family involvement remains strong despite the leadership transition. Gildo Zegna's sons, Edoardo and Angelo, will continue managing the male ready-to-wear Zegna brand, which generated two-thirds of the group's revenue in 2024.
The 2021 New York stock market listing under Gildo Zegna's leadership made history as the first Italian luxury group to achieve this milestone, cementing his legacy as a transformative leader in the global fashion industry.
