Luxury goods group Richemont has obtained worldwide clearance for the acquisition by Farfetch of a 47.5% stake in Richemont’s leading online luxury and fashion retail business, YOOX NET-A-PORTER.
Following a lengthy Phase I investigation, the European Commission announced that the transaction would not raise concerns in any online luxury retail market. The transaction has now been cleared in all 11 jurisdictions that opened investigations, including the EC, the UK, Australia and China.
Since Farfetch operates a large online marketplace for luxury brands (a two-sided market), the European Commission considered whether the merger would affect consumers or brands, and whether network effects could create or heighten any issues. It also considered whether the transaction raised vertical issues, and the provision of white label e-commerce services.
RBB’s team, led by Paul Reeve and supported by Hillary Wee, Agata Sosnowska and João Matias, worked alongside Slaughter and May for Richemont.
