Germany's LuxExperience to sell The Outnet assets to The O Group

Transaction Rationale

THE OUTNET operates as the online destination for luxury fashion from previous seasons with Net Sales of €260 million in fiscal year 20251. Founded in London in 2009, THE OUTNET has since then offered customers unrivalled access to expertly curated, past-season luxury fashion at exceptional prices. LuxExperience recently acquired THE OUTNET as part of the former YOOX NET-A-PORTER business, which together with YOOX forms its off-price segment. Shareholders of The O Group LLC include Joseph Edery and Timeless Group of Companies CEO Ritesh Punjabi, which both are renowned experts in luxury fashion.

The transaction is intended to unlock an optimal solution for THE OUTNET, which is expected to allow it to achieve its full potential under a renewed independent, stand-alone business model. As part of the transfer of THE OUTNET assets, LuxExperience will transfer the brand rights, customer data, full inventory and the US distribution center as well as required work-force in the US and the UK employees.

The divestment of THE OUTNET assets is a strategic step in line with LuxExperience's transformation plan announced in May 2025 that includes the simplification of its operating model by reducing complexity and is intended to allow the leading digital, multi-brand luxury group to completely focus its off-price resources on regaining growth and financial strength for its YOOX business. In addition, it is also expected to allow LuxExperience to accelerate the overall transformation plan in regards to an efficient infrastructure platform for NET-A-PORTER and MR PORTER.

Michael Kliger, Chief Executive Officer of LuxExperience, said, “We are very pleased that we have found the optimal solution both for THE OUTNET and for our Group. The transaction will allow THE OUTNET to achieve its full potential under a renewed independent, stand-alone business model. LuxExperience will fully focus its resources in off-price on creating the lean operating model required for YOOX in order to regain growth and financial strength. In addition, it will also allow us to accelerate the overall transformation plan in regards to an efficient infrastructure platform for NET-A-PORTER and MR PORTER.”

Financial consideration and material terms

The transaction includes a cash consideration of USD 30 million for the assets powering THE OUTNET platform. Closing of the transaction is expected to occur in the first quarter of calendar year 2026, subject to certain closing conditions, including customary regulatory approvals and payment of the purchase price, which is subject to adjustment based on inventory levels at closing. LuxExperience will continue its commercial relationship with THE OUTNET also after closing of the transaction and for a certain period after closing LuxExperience will provide certain operational and IT services all priced at cost level.

Note: The headline, insights, and image of this press release may have been refined by the Fibre2Fashion staff; the rest of the content remains unchanged.

ALCHEMPro News Desk (HU)