Zalando has announced plans to acquire German fashion platform About You in a deal valued at €1.1 billion.
- The offer price represents a 12% premium over the current stock valuation of About You.
- Major shareholders, including Otto Group and its affiliates, have agreed to sell their stakes.
- The acquisition aims to expand Zalando’s reach in the European fashion and lifestyle market.
- Both companies emphasize the strategic benefits of merging distinct but complementary B2C and B2B operations.
Zalando, the prominent online fashion retailer, has initiated a strategic move to acquire German fashion platform About You for approximately €1.1 billion. This acquisition is poised to enhance Zalando’s pan-European ecommerce ambitions, expanding its reach across the continent. The offer on the table is €6.50 per share, a 12% premium over About You’s current stock price, reflecting its promising market position and potential for growth.
Shareholders of About You, including the Otto Group, Otto Family, and Heartland, who collectively own 73% of the company’s shares, have agreed to sell through accepting the public offer or through individual agreements. This consolidation of interest marks a significant step towards finalizing the deal and shows strong backing from existing major stakeholders.
The leadership teams of both companies have expressed enthusiastic commitment to the deal, emphasizing its transformative potential. Robert Gentz, co-founder and co-CEO of Zalando, expressed optimism about redefining the customer and partner experience in the fashion and lifestyle sectors, noting, “I’m excited about how together we’ll be able to cover a larger share of the fashion and lifestyle market.”
Tarek Müller, co-founder and co-chief executive of About You, echoed these sentiments, highlighting the unique opportunity presented by the deal. He stated, “This transaction creates something truly unique, with two distinct and independent B2C businesses serving the specific needs of their customers.” Müller also pointed out the alignment of B2B operations in logistics, software, and services that will enhance offerings for clients.
The cooperative strategy promises not only to widen market coverage but also to leverage complementary strengths. By integrating operations, the companies plan to deliver exceptional value to their broader customer base. The transaction outlines how merging will foster an environment conducive to innovation and customer satisfaction across Europe.
The acquisition of About You by Zalando marks a milestone in the consolidation of European ecommerce, promising a strengthened market position.
