The operation, which is expected to be completed in November, is valued at 28 million euros, or $31.3 million at current exchange rates. Showroomprivé said the price of the transaction could be supplemented by a maximum sum of 10 million euros, or $11.2 million, payable in 2019 and “subject to the fulfillment of performance conditions tied to the 2018 results.”
Through this acquisition, Showroomprivé, which is listed on the Euronext stock exchange in Paris, will boost its presence in Italy. Saldi Privati, the second largest company operating in the private sales business in the country, has 2.7 million members and last year registered a turnover of 44 million euros, or $48.8 million. Showroomprivé also signed a partnership with Banzai to have access to its network of 400 pick-up points in 200 cities and guarantee 48-hour deliveries.
“This transaction constitutes an important stage in Showroomprivé’s international expansion. It will reinforce our presence in Italy, an important market for fashion and offering strong prospects for e-commerce,” said Showroomprivé co-founder and co-chief executive officer Thierry Petit. “Saldi Privati is an actor whose DNA is close to that of Showroomprivé. We will count on its teams and its founder Bruno Decker, with whom we share the same vision of the business.”
“We are pleased to join Showroomprivé, one of the leaders in online private sales in Europe,” said Decker, founder and ceo of Saldi Privati. “The access to Showroomprivé’s portfolio of brands, its clout and its innovation capacity will allow us to accelerate our growth.”
Last year, Showroomprivé generated revues of 600 million euros, or $666 million, with net sales of 443 million euros, or about $492 million, up 27 percent compared to 2014. All dollar rates are calculated at average exchange rates for the period in question.