Brands4friends, Germany's largest online fashion destination, will be acquired by eBay for approximately $200 million, strengthening eBay's fashion presence in Europe.
Brands4friends launched in 2007 and currently has 3.5 million members in Germany. The site has touted a variety of campaigns for more than 600 fashion brands, including Buffalo, Calvin Klein and Diesel. The deal also sees eBay acquiring Brands4friends' equity interests in SecretSales.com, a U.K. shopping club, and Brands4friends.jp in Japan. eBay reports that the online shopping clubs account for about 20 percent of online fashion sales in Europe.
"We want to give our customers the best possible fashion experience online," says Doug McCallum, senior vice president for eBay in Europe. "With the acquisition of Brands4friends, we will enter the online shopping club market with an established and dynamic partner who has the expertise, relationships and passion to match our own ambition. We expect many eBay customers will enjoy great deals on international fashion brands by joining the Brands4friends community."
The acquisition is expected to be approved by first quarter of 2011.