* Seeks at the least 600 mln euros from placement of recent shares
* Income grew 57% final yr to over 1 billion euros
* Worthwhile in core markets, rising quick in new ones
* B2B commerce platform competes with Shopify, SAP, Salesforce (Provides CEO interview, IPO element, context)
By Douglas Busvine and Nadine Schimroszik
BERLIN, Could 27 (Reuters) – German style e-tailer About You stated on Thursday it plans to drift on the Frankfurt inventory trade, and would make investments the proceeds in increasing overseas and growing its business-to-business expertise platform.
The Hamburg startup, backed by mail order group Otto and Danish tycoon Anders Holch Povlson, is in search of to boost at the least 600 million euros ($731 million) by way of a non-public placement of recent shares, whereas present shareholders would additionally promote inventory.
Sources acquainted with the providing stated it could worth the enterprise at round 3 billion euros.
About You, which competes with Shopify, SAP and Salesforce, stated its attraction to youthful consumers and expertise platform provided a compelling development story to traders.
“We’re the one firm in our sector that has a confirmed internationalization technique,” co-founder Tarek Mueller instructed Reuters in an interview.
About You reported 57% income development within the yr to February to 1.17 billion euros, and within the final quarter achieved its first constructive earnings earlier than curiosity, taxation, depreciation and amortization (EBITDA) since its launch in 2014.
It cited estimates that Europe’s style market was price 400 billion euros, of which 75 billion euros was traded on-line. It forecasts that on-line style gross sales will development at a annual fee of 10%.
Mueller resisted comparisons with Zalando, Europe’s high on-line style retailer, saying About You appealed to a youthful public that likes to seek for outfits earlier than deciding to purchase.
“Most of our clients use us to browse. Our competitor just isn’t Zalando – it’s town centre,” he instructed Reuters.
Round seven in 10 folks in continental Europe stay within the suburbs or countryside, he famous. “For them the traditional buying journey right this moment is extra engaging on their smartphone,” he stated.
About You expanded into 13 new markets final yr, bringing the variety of nations the place it’s current to 23.
It achieved over half its gross sales in its core German-speaking markets, the place income grew by 29% and it made a constructive adjusted EBITDA margin of 6%. In the remainder of Europe, gross sales rose 145%, however its EBITDA margin was minus 18%.
Its expertise platform, on which greater than 60 exterior outlets are already stay, reported a 61% improve in income final yr and constructive EBITDA margin of 12%.
About You stated it was inspired by the robust begin to its present fiscal yr, and forecast income development of 40-50%.
Deutsche Financial institution, Goldman Sachs, and JPMorgan are appearing as joint international coordinators and joint bookrunners on the deal, with Numis Securities, Societe Generale and UBS Funding Financial institution additionally appearing as joint bookrunners. (Reporting by Douglas Busvine; Modifying by Riham Alkousaa and Jan Harvey)