Richemont and Alibaba invest $600 million in Farfetch


The Swiss luxury house Richemont has signed a partnership agreement with Farfetch and the Chinese group Alibaba.
After the Eurazeo group sold its entire stake in Farfetch, Richemont announced Thursday evening that it will invest $300 million in Farfetch, the company founded in 2008 by Portuguese entrepreneur José Neves.
The Alibaba Group, which will also invest $300 million in the Farfetch virtual marketplace, said it will launch Farfetch shopping chains on its Tmall Luxury Pavilion and Luxury Soho e-commerce sites, while also investing in the new Farfetch China with Richemont.
Alibaba and Richemont also announced an investment of $250 million each in a new Chinese joint venture with Farfetch. They will share 25% of this new company, including the operation of Farfetch marketplaces in China.
In addition, the groups are considering the possibility of partnering with U.S. e-commerce companies to offer services for luxury brands. Artemis, the main shareholder of Kering, owner of Gucci, plans to increase its stake in Farfetch. Completion of Alibaba and Richemont’s investments and the creation of the Chinese joint venture are scheduled for early 2021.
Read also > RICHEMONT’S FORECASTS : HALF-YEAR OPERATING PROFIT EXPECTED AT 69 MILLION
Featured photo: © Farfetch
What's Your Reaction?

[EN] CLAIRE DOMERGUE, A SPECIALIST IN COMMUNICATION IN THE LUXURY SECTOR, HAS SURROUNDED HERSELF WITH EXPERTS TO CREATE THE FIRST MEDIA DEDICATED TO THE ECONOMIC NEWS OF LUXURY AND FASHION. THE LATTER DRAWS THE ATTENTION OF ITS READERS TO ALL THE MAJOR PLAYERS IN THESE SECTORS WHO SHARE THEIR EXPERIENCES, VISIONS AND KNOW-HOW. MORE THAN A SPECIALIZED WEBZINE, LUXUS PLUS IS A MULTI-SECTOR INFORMATION SYSTEM, WHICH HAS BECOME THE REFERENCE MONITORING TOOL FOR LUXURY AND FASHION PROFESSIONALS. OUR NEWSLETTERS CONTRIBUTE TO MAKE OUR READERS AWARE OF THE CHANGES AFFECTING THE LUXURY INDUSTRIES. THANKS TO AN INCREASED WATCH AND AN EXCELLENT KNOWLEDGE OF THE SECTOR, WE ARE INTERESTED IN THE MAIN ECONOMIC AND TECHNOLOGICAL STAKES OF FASHION, FINE WATCHMAKING, JEWELRY, GASTRONOMY, COSMETICS, PERFUMES, HOTELS, PRESTIGIOUS REAL ESTATE...********[FR] Claire Domergue, spécialiste de la communication dans le secteur du luxe, s’est entourée d’experts pour créer le premier média consacré à l’actualité économique du Luxe et de la mode. Ce dernier attire tout particulièrement l’attention de ses lecteurs sur l’ensemble des acteurs majeurs de ces secteurs qui y partagent leurs expériences, visions et savoir-faire. Plus qu’un webzine spécialisé, Luxus Plus est un système d’information multi-sectoriel, devenu l’outil de veille de référence pour les professionnels du luxe et de la mode. Nos newsletters de veille contribuent en effet à sensibiliser nos lecteurs aux mutations qui touchent les industries du luxe. Grâce à une veille accrue et à une excellente connaissance du secteur, nous nous intéressons aux principaux enjeux économiques et technologiques de la mode, la haute horlogerie, la joaillerie, la gastronomie, des cosmétiques, parfums, de l’hôtellerie, l’immobilier de prestige…