Swedish investment firm Kinnevik and German Rocket Internet, which belongs to the Samwer brothers, have founded Global Fashion Group. The aim is to merge 5 online fashion companies into a single powerhouse.
Global Fashion Group will house 5 companies from Latin America, Russia, Middle East, Southeast Asia and Australia into a single company worth 2.7 billion euro and which is active in 23 countries.
Kinnevik will be the largest shareholder with 25.1 %, while Rocket Internet will control 23.5 %. The collaboration will help streamline Rocket Internet's (and the 5 companies') structure and which has probably been designed to help prepare Rocket Internet's IPO, which is rumoured to be announced soon.
The company aims to dominate countries that have not yet been conquered by either American or Chinese companies, like Africa, Russia and Latin America. "GFG will be focused on capturing the massive growth opportunity of fashion e-commerce in emerging markets", CEO Olivier Samwer said.