High Interest in Ecommerce Platforms
A day before making its trading debut on the New York Stock Exchange (NYSE) under the ticker symbol "MYTE," the company recorded a success for its business in raising $407 million from its initial public offering (IPO) — led by Morgan Stanley and JP Morgan Chase & Co. — priced at the top of its marketed range.
“Mytheresa has grown into a global platform in luxury fashion. Every day, we deliver an unparalleled personalized digital luxury shopping experience to customers around the globe and inspire their loyalty through elevated curation, exclusive offerings, engaging content and exceptional service. We are in a position of strength, underscored by our differentiated value proposition for brands and customers and our profitable growth that has proven to be enduring and scalable,” said Michael Kliger, Chief Executive Officer of the company.
The business managed to sell 13.65 million shares at a price of $26 per share. Previously, Mytheresa announced a price range of $24 to $26 per share for its IPO. This range represents an upgrade for the business from the $16 to $18 IPO range initially announced on Monday.
Mytheresa is another beneficiary of the accelerated digital transformation as a result of the pandemic. The company recorded a net income of €6.35 million ($7.7 million) on net sales of €450 million ($547.8 million) for the 2020 fiscal year. In the near future, the business expects to see its revenue grow from 22% to 25% a year.
The online luxury business launched 15 years ago in Germany to offer luxury brands a change to sell fashion products. The company is known for strict and high-criteria policies. Some of the world’s most famous luxury fashion brands — such as Dolce & Gabbana, Fendi, Gucci, Moncler, Prada, Saint Laurent, Valentino, etc. — sell their products on Mytheresa.
“Our logic has always been to focus on our core customers, the true luxury customer and we try and understand what else this customer may want and find exciting,” Kliger said. “It’s not about a different direction, but about becoming more relevant for our customers. That’s why we added activewear and skiwear, kidswear and menswear.”
Mytheresa’s parent company MYT Netherlands Parent BV raised $407 million from its IPO, paving the way for its stock to start trading on the NYSE.
About the Author
Mariliana has an MSC in consumer analytics and business strategy. She has a special interest in fast-moving industries and big data.