Farfetch to buy stake in Yoox-Net-a-Porter from Richemont

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Farfetch has snapped up a large stake in Yoox-Net-a-Porter as owner Richemont right-sizes its assets

Richemont has sold 47.5% of the luxury ecommerce platform to Farfetch, as well as an additional 3.2% to Symphony Global.

The move leaves YNAP without a majority shareholder and there is the potential for Farfetch to snap up further shares.

As part of the deal, Richemont’s brands, which include Cartier and Chloe, will adopt Farfetch technology to power its digital ventures.

In the agreement, the Swiss luxury group will receive shares in Farfetch valued at $440m (£373m), which it has agreed to hold as an investment, as well as receiving another $250m (£211m) in Farfetch shares in five years.

Richemont acquired control of YNAP in 2018 for €5bn but the latest transaction values it at around €1bn – so the group has said it will instead claim a €2.7bn writedown on the asset.

Farfetch chief executive Jose Neves said: “This investment and work we will do with Farfetch Platform Solutions for YNAP will pave the way to a potential acquisition by Farfetch, which would create a complementary portfolio of iconic luxury destinations, appealing to different demographics, price points and regions.”