- Farfetch Ltd (NYSE:FTCH) and business tycoon Mohamed Alabbar’s Symphony Global have acquired 47.5% and 3.2% stakes, respectively, in online luxury and fashion retailer YOOX NET-A-PORTER (YNAP). The transaction results in YNAP as a neutral platform with no controlling shareholder.
- YNAP and its parent, Richemont, will adopt Farfetch’s platform solutions to help digitalize the luxury industry.
- The company’s platform solutions will advance the delivery of the omnichannel strategy of Richemont’s Maisons.
- Upon selling 47.5% of YNAP’s share capital to Farfetch, Richemont will receive 53.0-58.5 million of Farfetch’s Class A ordinary shares, representing 10%-11% of fully diluted and 12-13% of the issued share capital.
- Richemont and Farfetch will have put and call options, respectively, for Farfetch to acquire the remainder of YNAP, subject to certain conditions.
- Richemont will also receive $250 million on the fifth anniversary of completing the initial stage of the transaction.
- Farfetch held $937.9 million in cash and equivalents as of March 31, 2022.
- Price Action: FTCH shares are trading higher by 13.90% at $8.93 in premarket on the last check Wednesday.
LTL Carriers See Strong Trends Flow Through Second Quarter
A couple of less-than-truckload carriers provided updates through the first two months of the second quarter on Wednesday. The year-over-year advances were very large and reflected easy comparisons to 2020, which experienced a sharp falloff as parts of the economy were knocked offline amid expanding COVID-related shutdowns.
