Two companies linked to Italian influencer Chiara Ferragni are under investigation by the country’s competition authority for alleged unfair commercial practices.
(Bloomberg) — Two companies linked to Italian influencer Chiara Ferragni are under investigation by the country’s competition authority for alleged unfair commercial practices.
The authority has decided to extend to Fenice Srl, partially owned by Ferragni, and to her other company Tbs Crew Srl, an investigation opened last June into food firm Balocco, in relation to a commercial initiative promoted by Ferragni and Balocco last Christmas, according to a statement.
Consumers may have thought that, by purchasing the Ferragni-branded pandoro cake made by Balocco, they were contributing to a donation in favor of the Regina Margherita hospital in Turin, according to the competition body. The company had already arranged for a fixed amount to be donated to the hospital several months prior to the advertising launch of the initiative, regardless of the sales performance of the product, it added.
A spokesperson for Ferragni did not immediately respond to a request for comment.
The authority’s officials inspected Fenice and TBS offices Wednesday, according to the statement.
Chiara Ferragni saw the value of Ferragni’s Fenice brand rise to €75 million ($84.24 million) as one of her original backers looks to monetize his investment dating back to 2013.
Last June Alchimia SpA, the investment vehicle founded by Paolo Barletta, along with Nicola Bulgari’s Annabel Holding, signed an agreement to sell about two-thirds of its stake in Fenice to AVM Gestioni.
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