Swiss luxury conglomerate Richemont has plans to increase its stake in Yoox Net-A-Porter from 49% to at least 90%, offering to buy the shares for €38 per share for a total investment of around €2.7 billion.
The €38 per share offer represents an almost 26% premium over YNAP’s closing price prior to the announcement of €30.26 per share
The bid has not yet been approved by shareholders but chief executive Federico Marchetti has indicated he is prepared to accept the bid for his shares, and YNAP has waived a clause in the shareholder agreement that would otherwise prevent Richemont from purchasing further shares.
The offer values YNAP at €5.1bn. The company made over €2bn in sales in 2017, and reported a 16.9% increase in organic net revenues.
Mr Johann Rupert, Chairman of Richemont, said in a statement: “We are very pleased with the results achieved by YOOX NET-A-PORTER GROUP’s management team, led by Federico Marchetti, and we intend to support them going forward to execute their strategy and further accelerate the growth of the business. Thanks to our long-term commitment and resources, we see a meaningful opportunity to strengthen further YOOX NET- A-PORTER GROUP’s leading positioning in luxury e-commerce, growing the business in existing and new geographies, increasing product availability and range, and continuing to develop unparalleled services and content for today’s highly discerning consumers.”