Farfetch, the technology platform for luxury goods, is set to acquire Stadium Goods, the premier sneaker and streetwear marketplace, for an enterprise value of $250 million.
Stadium Goods specializes in new and deadstock products. It has been on the Farfetch platform since April. Farfetch said the acquisition presents a “great opportunity for the two companies to leverage each other’s strengths within this fast-growing segment of luxury fashion.”
Jose Neves, co-chairman, founder and chief executive officer of Farfetch, said, “The Stadium Goods team has built an incredible company, with a host of talented people, dedicated and loyal customers and remarkable brand equity.”
The plan is for Stadium Goods to operate as a wholly-owned subsidiary, with the founding team continuing to run the business. Farfetch will pay for the transaction in a combination of cash and Farfetch shares. The deal is expected to close in the first quarter of 2019.
John McPheters, co-founder and co-ceo of Stadium Goods, said, “By leveraging Farfetch’s best-in-class cross-border logistics and technology, as well as their luxury prowess, scale and customer base, we will be in a prime position to capitalize on the massive international demand for sneakers and streetwear.”
Stadium Goods was founded in 2015. According to a Bain & Co.-Altagamma 2018 Worldwide Luxury Market Monitor from November, the premium sportswear market is estimated as being worth $70 billion in 2017.