Shirebrook-based Frasers Group has acquired the MATCHES business from MF Intermediate Limited, a subsidiary of funds advised by Apax Partners, by way of the purchase of 100% of the shares of a group of six companies and the acquisition of the senior and junior debt owed by those companies.
MATCHES is a destination in online luxury for men and women, which offers a modern edit of more than 450 established and next-generation designers and generates the majority of its revenue internationally, with the business delivering to 150 countries outside the UK.
The consideration totals approximately £52 million and will be settled in cash at completion from Frasers’ existing cash reserves and facilities.
The MATCHES business has been loss making in recent years.
Frasers says the acquisition is an opportunity to further develop its Elevation Strategy and strengthen its luxury offering.
Nick Beighton, Chief Executive Officer of MATCHES, will work with the Frasers team to develop a strategy to build on the underlying strength of the business whilst unlocking synergies with Frasers.
Michael Murray, Chief Executive Officer of Frasers, said: “MATCHES has always been a leader in online luxury retail and has incredible relationships with its brand partners. This acquisition will strengthen Frasers’ luxury offering, further deepening our relationships and accelerating our mission to provide consumers with access to the world’s best brands.
“Whilst the global luxury environment is softer, we are confident that, by leveraging our industry-leading ecosystem, we will unlock synergies and drive profitable growth for MATCHES.”
Nick Beighton, Chief Executive Officer of MATCHES, added: “Since I joined MATCHES last year, we have made good progress, sharpening our brand and product curation and improving the day-to-day operations of the business.
“As a result, we have seen a resilient trading performance despite the challenging economic backdrop. Being part of Frasers, with their utter commitment to luxury, will give this business access to greater scale, best-in-class retail expertise and the financial stability it needs to more effectively deliver for our brand partners and our customers.”
