Prince William had telling three-word response after seeing infamous Kate Middleton look

Prince William’s response to seeing Kate Middleton debuting a daring runway look during their university days has gone down in history - and so has the Princess of Wales’ sheer outfit.

It’s understood that in 2001, His Royal Highness and Kate Middleton, now 42, met for the first time at the prestigious University of St. Andrews in Scotland.

While the mother-of-three was pursuing a degree in art history, William was embarking on a study of geography at the time.

Months after enrolling at the university, Kate and William attended the same charity fashion show—an event that would later go down in royal history.

It's said Kate Middleton caught Prince William's eye at a charity fashion show when they were at university. (John Stillwell - Pool/Getty Images)

On March 27, 2002, a then-19-year-old Kate sashayed down the runway at the annual St. Andrews 'Don't Walk' style showcase wearing a jaw-dropping sheer gown.

The figure-hugging dress was worn over the top of a matching strapless black bikini and featured a contrasting turquoise bandeau neckline and a flattering knee-length hem.

The now-infamous garment was reportedly designed for just £30 by Charlotte Todd, and was originally intended to be worn as a skirt.

And as Kate stormed down the runway, it is alleged that her racy outfit caught the attention of the Prince.

It’s reported that the young royal was sitting in the front row of the St. Andrews Bay Hotel and turned to one of his friends to comment on Kate’s effort.

The sheer frock was later auctioned off to a collector in Jersey. (Ferdaus Shamim/WireImage)

“Wow,” he is reported saying to Fergus Boyd. “Kate’s hot!”

Years later, Ben Duncan, one of Kate and William’s classmates, recounted the events of the legendary evening to E! Online.

“The moment in question, of course, is the 'Don't Walk' fashion show, It was the end of their first year,” he began. “I was there, and in person there were a lot of attractive girls.

“[Kate] was in a very daring dress, in a sheer stocking-like dress. [William] was sitting front row and his eyes were like stalks.”

Fans of The Crown will also already be familiar with the 'Don’t Walk' fashion show as actors Meg Bellamy, who plays Kate, and Ed McVey, who portrays William, recreated the scene during the season six episode, ‘Hope Street’.

After watching the younger Kate walk the runway in a replica gown, William tells her in the Netflix series: "That was quite the outfit earlier."

The Crown recreated the iconic moment. (Netflix)

"I just felt like doing something drastic. To know, one way or another... if you were interested,” replied Kate.

“Of course I'm interested,” gushes William. “I thought you weren't interested. I've always been interested, bordering on obsessed. To the point where I thought if I couldn't be with you... I'd sooner not be here at all."

In 2011, it was revealed that Charlotte had successfully sold the dress for £78,000 to a collector from Jersey.

Speaking to British Vogue after the Kerry Taylor Auctions' Passion for Fashion Auction, the designer said: "I am totally speechless, and feel very emotional.

“I really didn't think it would make that amount. I am planning to put some of the money towards a deposit for a house, but perhaps I may use some to change my career.”