Zalando and About You, two of Europe’s prominent online fashion platforms, have officially merged in an exciting strategic partnership aimed at uniting their strengths in both business-to-consumer (B2C) and business-to-business (B2B) sectors. This merger isn’t just about joining forces; it’s about building a future where both businesses can grow while maintaining their unique brand identities. On August 6, Zalando will provide the first glimpse into this newly formed group alongside its second-quarter earnings report for fiscal year 2025.
The deal received the green light from the European Commission on July 1. Zalando’s takeover offer gained considerable traction, resulting in the acquisition of a staggering 91.45% of About You’s shares, previously owned by the Otto Group. But that’s not all—Zalando now plans to buy out remaining minority shareholders, ensuring fair cash compensation during this transition phase, which will be executed through a merger with a completely owned subsidiary.
Since announcing the merger intentions back on December 11, 2024, both companies have been deeply invested in preparing for this next chapter, putting together detailed plans to make the transition as smooth as possible.
“Both Zalando and About You began as local startups and grew into European success stories,” remarked Robert Gentz, Zalando’s co-CEO and co-founder. “Our passion for quality, innovation, and keeping close to our customers fuels us together. This merger allows us to dismantle barriers and build a powerful force in shaping the future of fashion and lifestyle e-commerce across Europe.”
For consumers, this partnership means even more exciting and personalized shopping experiences. On the B2B side, the merger of About You’s unique payment solution, Scayle, will fit seamlessly into Zalando’s broader ambition of creating a full-scale operating system tailored for the fashion and lifestyle industry.
By integrating their logistics and software tools—like Zeos, Tradebyte, and Scayle—the companies are laying the groundwork for a comprehensive e-commerce ecosystem. “This collaboration will empower brands and retailers to handle their multichannel businesses efficiently, not just in Europe, but beyond,” they stated.
At the essence of this partnership lies a desire to reimagine how shoppers engage with fashion and lifestyle products. Tarek Müller, co-CEO and co-founder of About You, emphasized their shared goal: “Our mission is to redefine the shopping experience and create genuine value for our customers and partners.” Gentz echoed this sentiment, noting how this strategic transaction opens up collaborative opportunities while allowing About You to preserve its entrepreneurial spirit.
Back in December 2024, Zalando reaffirmed its optimistic outlook, predicting a compound annual growth of 5 to 10 percent in both gross merchandise volume (GMV) and revenue by 2028. With this merger, the companies are also aiming for an adjusted EBIT margin of 6 to 8 percent, a significant boost that could redefine their future endeavors in Europe’s vast €450 billion fashion and lifestyle market.
As they prepare to share more details about this exciting chapter, we can expect Zalando to present its first official outlook for the combined business during its Q2 report on August 6. This partnership marks a pivotal moment, and as these two giants come together, they’re poised to reshape the retail landscape and elevate the fashion shopping experience for everyone.
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