Vinted, a leader in the online resale market, is in talks to engage investors for a potential share sale. This initiative could see the company’s value reach approximately £3.8bn.
The move aligns with Vinted’s growth strategy, coming after a significant fiscal turnaround and a notable rise in revenue and profitability.
Vinted, the prominent resale platform, has initiated discussions with investors for a potential share sale expected to value the company at approximately £3.9bn. The move entails existing private shareholders offering part or all of their stakes. The aim is to raise around £156m through the exchange of shares, amidst anticipation of achieving a valuation near £3.8bn.
In the recent fiscal period, Vinted’s revenue experienced a substantial increase of 61% year-on-year, reaching €596.3m (£503.2m). The reported net profit of €17.8m represents a stark contrast to the preceding year’s net loss of €20.4m. This financial turnaround is pivotal for investors contemplating the sale.
A rising consumer inclination towards sustainable shopping, particularly among Gen Z, has fuelled demand. Vinted has capitalised on this trend, reinforcing its position in the second-hand retail market.
A chief factor affecting timing for an IPO involves broader economic conditions such as disposable income trends and market stability.
Vinted’s user base expansion is particularly concentrated in countries like the US, Italy, and Germany, highlighting its international appeal.
Vinted’s recent financial improvements set a positive precedent for potential investors and stakeholders.
The outcome of these deliberations will undoubtedly impact the company’s strategic direction and valuation prospects.
The proposed share sale by Vinted signifies a key strategic initiative aimed at enhancing company value and capitalising on investor interest in sustainable retailing. The prospective valuation reflects Vinted’s robust market positioning and financial health.
The proposed share sale by Vinted signifies a key strategic initiative aimed at enhancing company value and capitalising on investor interest in sustainable retailing. The prospective valuation reflects Vinted’s robust market positioning and financial health.
