Singapore state investment firm Temasek is set to acquire a 30 per cent equity interest in Italian fashion retailer Stone Island.

Financial terms of the transaction have not been disclosed, but Stone Island says it will use the proceeds to finance international growth of its men’s sportswear.

It is not Temasek’s first major investment in the fashion industry. It was involved in Farfetch’s US$110 million Series F round, and acquired a 26.8 per cent stake in Italian fashion firm Moncler in collaboration with travel retail group Dufry chairman Juan Carlos Torres.

Temasek is guaranteeing the continuity and autonomy of the Stone Island management team, says founder Carlo Rivetti of the Sportswear Company, the parent of Stone Island.

Founded by Massimo Osti in 1974, Stone Island was acquired by Italian apparel manufacturer GFT, Rivetti’s family firm, in 1983. GFT was later rebranded as the Sportswear Company.

Stone Island reported revenues of €109 million (US$128.5 million) last year, up 26 per cent from the previous year.