Richemont extends review period for YNAP acquisition

Luxury group Richmont has extended the review period for its proposed acquisition of online fashion group Yoox Net-A-Porter (YNAP).

The group has requested an extension, which was granted by Commissione Nazionale per le Società e la Borsa (Consob - the regulator of the Italian stock exchange where YNAP is listed), of not more than 15 days.

Richemont said it wished to "supplement the Offer Document with the main financial data from the draft stand-alone financial statements and consolidated financial statements of YNAP as at 31 December 2017, which, according to the financial calendar of YNAP, are due to be approved by the board of directors on 6 March 2018."

It added that the reopening of the review will communicated in a timely manner in accordance with Consob regulations.

Richemont instigated the merger of London-based Net-A-Porter, in which it had a controlling stake, and Italian group Yoox in 2015, to create Yoox Net-A-Porter. It retained shares in the enlarged group but last month issued a statement to reveal it planned to bid for the entire remaining share capital, including CEO Federico Marchetti's 4% stake, at €38 per share, which would value the business at €5.1bn.

Marchetti, who welcomed Richemont's bid, will stay with the business moving forward and it will continue to be run as an independent business from Richemont's luxury business, which includes brands such as Chloé and Cartier.

At the weekend it was revealed that one shareholder, US value investor Robotti & Company which controls a less-than-1% stake, planned to resist the bid saying: “We don’t see the deal as being synergistic for Yoox Net a Porter; nor do we think that the price offered is at a sufficient valuation.

“Given that Yoox Net-a-Porter has leading a position in the industry and the best management team, we think the company should remain independent for the time being,” its portfolio manager Isaac Schwartz told The Sunday Times.