The Danish Bestseller group has taken a significant stake in German fashion platform About You. A capital increase of some 250 million euros should enable further growth of the online retailer.
Enter new markets
The owner of fashion chains Jack & Jones and Vero Moda is investing through its holding Heartland, which obtains a 'double-digit' share in the startup. Founder Otto Group remains the largest shareholder and the existing shareholders (German Media Pool, Seven Ventures and About You's management) participate in the capital increase as well. As a result of the investment, the valuation of About You is now just under a billion euro.
"This collaboration allows us to further expand our customer base, gain market share and quickly enter new markets. At the same time, we will double the number of employees here in Hamburg (currently 450) in the next three years ", says About You director Tarek Müller.
About You is the second largest online fashion retailer in Germany, second only to Zalando. The company works according to a hybrid model, which is partly retailer with its own stock and partly marketplace. The webshop officially started last year in Belgium and the Netherlands. In its own words, About You is primarily an inspiration platform for fashion lovers, an aspect neglected by competitors such as Zalando and Amazon. In the long run, the company hopes to realize an initial public offering.