Zalando grabs About You: A deal that shakes the industry!

Zalando grabs About You: A deal that shakes the industry!

Berlin, Deutschland - Zalando takes a sensatonal step: the Hamburg commercial giant Otto sells its online fashion retailer About You for 6.50 euros per share at the industrial giant Zalando. This corresponds to a surcharge of two thirds compared to the closing course from Tuesday and evaluates ABOUT YOU with a total of 1.13 billion euros. Zalando has already secured 73 percent of the shares, with the Otto family, who holds 64.7 percent through the Michael Otto Foundation, and have already agreed to sell their shares, such as oe24.at reported.

The decision comes in a difficult market environment in which About You have won in market position in recent years. According to Otto's current annual report, ABOUT YOU already has more customers than Otto.de - 12.7 million compared to 11.3 million - and shows faster growth. In sales, however, Otto remains significantly at the forefront of 4.5 billion euros, while ABOUT YOU generates 1.9 billion euros. However, both companies recorded significant losses at EBIT level: About You with a minus of 213 million euros, just before Otto's loss of 201 million euros, such as excitingcommerce.de analyzed.

This takeover has the potential to change the landscape in the online fashion trade sustainably. Zalando, which is now taking an even stronger market position, could strengthen its customer base and efficiency by integrating About You. Ultimately, this could also heat up the competition in the online sale of fashion, while Otto has to reorganize strategically.