Farfetch To Take 47.5% Stake In Richemont's YNAP

Switzerland-based luxury goods holding company Compagnie Financiere Richemont AG (CFRUY.PK) on Wednesday said luxury fashion retailer Farfetch, and Symphony Global, owned by Mohamed Alabbar, have decided to pick up 47.5% and 3.2% stake, respectively, in Richemont's ecommerce operation Yoox Net-a-Porter (YNAP). Towards this, Richemont will record writedown to the tune of 2.7 billion euros.

Upon completion of the deal, Richemont will receive 53 million-58.5 million Farfetch Class A ordinary shares, and after five years another $250 million worth shares.

The transaction will make YNAP an impartial platform with no controlling shareholder, Richemont said.

Richemont and FARFETCH will have have put and call options, respectively, for Farfetch to amass the remainder of YNAP, subject to certain conditions.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Precision care innovator GE HealthCare Technologies, Inc., recently spun-off from General Electric Co., reported on Monday that profit for the fourth quarter declined from last year, reflecting higher interest and other financial charges. The company also initiated adjusted earnings guidance for the full-year 2023. Japanese auto major Toyota Motor Corp. has retained its title as the world's top selling automaker in fiscal 2022 for the third straight year, by selling around 10.5 million vehicles. The global sales were nearly flat with last year amid solid demand centered around Asia, while global production grew with increased capacity and production optimization in North America and Asia. Dutch consumer electronics giant Philips Electronics NV reported Monday a loss in its fourth quarter, compared to prior year's profit, even as sales increased. The company further declared a dividend, and said its order book remains strong. Going ahead, the company projects comparable sales growth in fiscal 2023, 2025, and beyond.
Follow RTT