Online fashion retailer Zalando has made waves in the e-commerce sector with its unexpected takeover bid for Hamburg-based competitor About You, offering €6.50 per share. This represents a substantial 67% premium over the previous market price, demonstrating Zalando's aggressive expansion strategy. The announcement has notably impacted Zalando's own stock, which experienced a significant 9% decline in early trading. Through binding agreements with founders and board members, Zalando has already secured approximately three-quarters of About You's share capital, positioning itself for a transformative merger in the competitive online fashion market.
Strategic Growth Outlook
The merged entity aims to capitalize on substantial synergies, particularly in logistics and payment processing operations. Financial projections for the combined company are ambitious, targeting annual revenue growth of 5-10% through 2028, with operating profit margins expected to stabilize between 6-8% initially, before potentially expanding to 10-13% in the long term. The acquisition is scheduled for completion in summer 2025, marking a significant consolidation in the European e-commerce landscape.
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Zalando Stock: New Analysis - 12 DecemberFresh Zalando information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
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