Kinnevik invests further in Zalando
Zalando, the European online fashion and footwear retailer, has announced that Investment AB Kinnevik has acquired a further 10% equity in the company thereby making it the largest shareholder.
Investment AB Kinnevik now holds a 26% direct stake in Zalando and further 9% indirectly through Rocket Internet. The investor acquired the additional 10% stake from Holtzbrinck Ventures, Tengelmann and Rocket Internet. The three early-stage investors sold a small portion of their stakes in Zalando but together still hold more than 56% of the company.
Zalando reported net-sales of €471 million in the first six months of 2012 and has said it is on track to double its 2011 revenue of €510 million this year.
Rubin Ritter, managing director of Zalando, said: “We are excited to see Kinnevik increasing its ownership in Zalando and we look forward to executing our plans with Kinnevik as a large and active shareholder. Zalando has had a very fast development since the start in 2008 and given the strong growth in the first half of the year, we are on track to double last year’s sales, making us the largest shoe and fashion e-commerce company in Europe."
Mia Brunell Livfors, CEO of Kinnevik, added: "Kinnevik first invested into Zalando in 2009 and we have followed the rapid success of the company since then. We are very pleased to be able to increase our ownership in the company and we look forward to being an active partner to the company and continue to support its development into a leading European e-commerce company."
Throughout its partnership with Zalando, Kinnevik has continued to increase its stake in the company. Ritter continued: "This is another example of trust by our shareholders in our work and business-model. Zalando has proven that we can grow strongly in all categories and markets while setting up the infrastructure of a sustainable company, such as our investments in new fulfilment centres in Erfurt and Mönchengladbach."
Founded in 2008, Zalando now operates in 14 European markets.
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