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Fashion mergers and takeovers have been a growing phenomenon in the world of luxury e-commerce. And it seems another was just on the horizon following a series of large e-tailers being acquired by other major brands.
Aside from acquisitions like Farfetch (now under South Korean retailer Coupang) one more will fall under 2024’s biggest takeovers between giant e-commerce platforms Mytheresa and YOOX Net-a-Porter (YNAP).
As reported by The Business of Fashion, there’s a substantial downward trend of online luxury shopping, which retail platforms such as Farfetch and Matches fell victim to. Now, searching more and expanding its retail operations, Mytheresa will officially be buying the popular luxury platform YNAP, underscoring the brands diversification.
Following discussions between Mytheresa and Swiss conglomerate Richemont, the companies confirmed on October 7, 2024, that the giant e-tailer will acquire 100 per cent of YNAP, with the following terms that Richemont will sell the platform for €555 million (Dhs2.2 billion) and without any financial obligations for a 33 per cent stake in Mytheresa.
As said by Mytheresa’s CEO Michael Kliger in a released statement, “With this transaction, Mytheresa aims to create a pre-eminent, multi-brand, digital luxury group worldwide.”
This means Mytheresa will be able to meet its overlying objective in becoming the go-to digital platform, while Richemont can focus on its uptrend towards stabilised profits.
The Details of the Integration
According to the press release by Richemont, with both leading powerhouses (Mytheresa and YNAP) under one platform, this opens the conversation to a diversification of geographies, customers and brand portfolios.
The deal includes an integration of YNAP’s luxury division into Mytheresa for the medium term with three storefronts, MYTHERESA, NET-A-PORTER and MR PORTER.
After a 15 per cent decrease in sales, it only makes sense that the integration takes place as a timely safety net for YNAP. Taking the stand as a game-changing merge, Chairman of Richemont Johann Rupert mentioned, “We are pleased to have found such a good home for YNAP. As a trusted partner to many of the world’s leading global luxury brands, YNAP is renowned for its pioneering high-end customer services complemented by its distinctive and inspirational editorial voice.”
He further added, “Mytheresa is ideally placed to build on YNAP’s assets to further delight customers and brand partners alike across the world by harnessing both companies’ respective strengths.”
