THE RETAIL BULLETIN - The home of retail news
Click here
Home Page
News Categories
Commentary
Department Stores
Electricals and Tech
Entertainment
Fashion
Food and Drink
General Merchandise
Grocery
Health and Beauty
Home and DIY
Interviews
People Matter
Retail Business Strategy
Property
Retail Solutions
Electricals & Technology
Sports and Leisure
Christmas Ads
Shopping Centres, High Streets & Retail Parks
Retail Events
People in Retail Awards 2024
Retail HR Central 2024
The Future of The High Street 2024
Retail HR Summit
THE Retail Conference
Upcoming Retail Events
Past Retail Events
Retail Insights
Retail Solutions
Advertise
About
Contact
Subscribe for free
Terms and Policies
Privacy Policy
Boohoo seeks to acquire Nasty Gal

Online fashion retailer Boohoo has embarked on a process to acquire certain intellectual property assets from US retailer Nasty Gal for US$20 million. Nasty Gal filed… View Article

FASHION RETAIL NEWS UK

Boohoo seeks to acquire Nasty Gal

Online fashion retailer Boohoo has embarked on a process to acquire certain intellectual property assets from US retailer Nasty Gal for US$20 million.

Nasty Gal filed for Chapter 11 Bankruptcy Code protection in the US Bankruptcy Court on 9 November. Subject to US court approval, Boohoo’s subsidiary Boohoo F I Limited will be appointed as the “stalking horse” bidder for the Nasty Gal brand and customer databases, in accordance with Section 363 of the United States Bankruptcy Code.

The sale of the Nasty Gal assets will be governed by a court approved bidding process lasting at least 30 days. Boohoo said its bid may not result in a transaction if higher or more favourable offers are obtained by Nasty Gal during the auction process.

Founded by Sophia Amoruso in 2006, Nasty Gal delivered net revenue of US$77.1 million in the year ended 1 February 2016. This includes revenue from vintage clothing and third party brands, which are excluded from the proposed transaction. The company made a net loss after tax of US$21.0 million after taking into consideration operating costs. The proposed transaction relates to the acquisition of intellectual property assets only and excludes all operating costs.

Boohoo said the acquisition of the fashion forward brand would accelerate its international growth, particularly in the US, as it looks to build on its existing customer reach and product range across the globe.

Mahmud Kamani and Carol Kane, Boohoo joint chief executives, said: “Should we be successful in acquiring Nasty Gal it would represent a fantastic opportunity to add such a well-established, global brand to the Boohoo family. Following our recent acquisition of PrettyLittleThing.com we believe this would represent an ideal next step in inspiring an ever-growing range of young customers internationally.”

Subscribe For Retail News