Shares in IT Holding SpA, owner of the Gianfranco Ferré fashion brand, rose nearly 30% yesterday (4 January) after the luxury goods group said it had received an expression of interest from a foreign fund.

The firm said it had instructed its CEO to look into the proposal, which includes a capital increase and the repurchase of a bond.

Earlier this week the Milan-based company revealed it is in talks with a number of investors, including one which would help "rebalance the company's finances."

IT Holding, which licences labels such as Versace, Just Cavalli and Galliano, added that it is still in talks with Chinese firm Mensun, a company represented by Chinese businessman Billy Ngok, but that discussions are no longer on an exclusive basis.