Progetto 11, the holding company behind the prominent e-commerce operator The Level Group, has finalized the acquisition of Tomorrow Group. This strategic move is designed to ensure operational continuity for the international fashion platform, which has recently faced significant headwinds within the global wholesale distribution sector. While financial terms of the deal remain confidential, the acquisition marks a pivotal shift in how fashion middlemen are restructuring to survive a volatile retail landscape.
According to Yahoo Finance, the transaction results in the exit of previous shareholders, including Tomorrow Group founder and CEO Stefano Martinetto and Three Hills Capital Partners. The acquisition comes at a time when the "middleman" model in fashion is under intense scrutiny following the collapse of major retailers like Matches and the acquisition of Farfetch by Coupang.
These industry shifts have disrupted traditional sales channels, forcing brand development agencies to rethink their logistics and distribution frameworks.
Integrating Digital Direct-to-Consumer Expertise
The Level Group, headquartered in Milan, brings a robust digital infrastructure to the partnership. Andrea Ciccoli, co-founder of The Level Group, noted that the acquisition offers an opportunity to reinterpret Tomorrow’s traditional wholesale approach through a digitally integrated lens. By leveraging a solid financial base and e-commerce expertise, the new leadership aims to stabilize Tomorrow’s platform and evolve it to meet modern brand requirements.
Tomorrow Group has historically been a cornerstone for brand development, co-owning or supporting labels such as Coperni, Martine Rose, and Charles Jeffrey Loverboy.
However, the platform recently encountered hurdles; Coperni notably abstained from Paris Fashion Week due to a deteriorated relationship with the group, and Martine Rose was forced to cancel fall 2026 production. Progetto 11 intends to maintain Tomorrow’s showrooms in Milan, Paris, and New York to preserve its global footprint while implementing a more sustainable business model.
A Structural Shift in Global Retail
The acquisition reflects a broader trend in omnichannel retail where physical distribution must be seamlessly wedded to digital agility. The Level Group currently manages end-to-end e-commerce for more than 20 high-profile brands, including Dolce & Gabbana, Ferrari, and Off-White. In 2025, the group reported revenues exceeding 250 million euros, positioning it as a stabilized force capable of absorbing Tomorrow’s portfolio during a period of market contraction.
Industry analysts suggest that the fashion sector is undergoing a structural transformation. High interest rates, increased production costs, and a cost-of-living crisis in Europe have placed immense pressure on wholesale-reliant entities.
For business leaders in retail hubs like Bentonville, this acquisition serves as a case study in the necessity of diversifying sales channels and investing in technology-driven supply chain solutions. The focus for Progetto 11 now moves toward ensuring continuity for the teams and partners that rely on the Tomorrow platform while building an integrated future for brand development.
As the retail landscape continues to consolidate, the success of this acquisition will likely depend on how effectively Progetto 11 can merge Tomorrow’s legacy distribution network with modern retail tech. The goal remains to move beyond the traditional agency model toward a holistic brand management strategy that prioritizes resilience and direct consumer engagement.
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