Zalando acquires rival About You

By: Trademagazin editor Date: 2024. 12. 12. 09:11

Zalando is buying out its German competitor About You. Both platforms will continue to exist separately on the front end, but integrate behind the scenes (B2B).

Zalando has launched a public takeover bid for 100% of About You’s share capital. The offer is 6.50 euros per share, representing a 12% premium to the median analyst price. The transaction, which is expected to close in summer 2025, already has the backing of major About You shareholders, including Otto Group, the Otto family and Heartland, which together account for about 73% of the share capital.

In B2C, the group will pursue a dual-brand strategy, with About You continuing to focus mainly on young consumers. However, in B2B, i.e. for brand partners, there will be a unified platform. About You’s founders and board members – Sebastian Betz, Tarek Müller and Hannes Wiese – will retain their current roles within the combined group. Zalando expects significant long-term EBIT synergies of around 100 million euros a year.

Together, the two fashion marketplaces aim to serve a larger share of the 450 billion euro European fashion and lifestyle market. Soon, the platforms will also move into the United States together, Zalando announced at the press conference. The US is a long-held dream of the company.

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