RICHEMONT: MERGER OF NET-A-PORTER WITH YOOX COMPLETED WITH A SIGNIFICANT ONE-OFF ACCOUNTING GAIN ESTIMATED BETWEEN € 610 AND € 670 MILLION Montag, 05. Oktober 2015 - 07:30
COMPANY ANNOUNCEMENT FOR IMMEDIATE RELEASE
MERGER OF NET-A-PORTER WITH YOOX COMPLETED WITH A SIGNIFICANT ONE-OFF ACCOUNTING GAIN ESTIMATED BETWEEN € 610 AND € 670 MILLION
5 OCTOBER 2015
Richemont announces that the merger of its subsidiary, The Net-A-Porter Group, with YOOX S.p.A. (‘YOOX’ or ‘YOOX Group’) has been completed.
As a consequence of the all-share transaction, Richemont has received 65’599’597 shares in the enlarged YOOX Net-A-Porter Group. Those shares represent in aggregate, on a fully diluted basis, 50 % of the share capital of the combined entity’s listed parent company. In order to preserve the independence of YOOX Net-A-Porter Group, Richemont’s voting rights are limited to 25 %. Two representatives from Richemont will serve on the Board of the combined entity’s listed parent company. Richemont will equity account its investment in YOOX Net-A-Porter Group.
Richemont has committed to a lock-up period of three years in respect of shares equivalent to 25 % of the total share capital of the combined entity.
The all-share transaction will generate a significant one-off, non-cash, accounting gain in Richemont’s financial statements for the full-year ending 31 March 2016. The gain will be reported within ‘Profit from discontinued operations’. No gain will be recorded in the interim results for the period ended 30 September 2015. Based on the 2 October closing YOOX share price of € 28.06, the amount of the pre- and post-tax accounting gain is estimated to be between € 610 million and € 670 million.
Richemont is currently in a silent period and will be available for comments regarding this transaction after the announcement of its interim results on 6 November 2015.
