La Redoute

A newly created entity has acquired all the shares of La Redoute, Redoute International and Relais Colis following a concomitant recapitalisation by Kering. This company will be co-chaired by Mrs Balla and Mr Courteille, who jointly have the majority shareholding, the remainder of the capital being held by a team of managers.

The acquisition will enable the new buyers to continue and accelerate the transformation of the companies within their framework of a long-term industrial plan, capable of ensuring a return to growth.

Mrs Balla’s and Mr Courteille’s industrial plan combines two complementary aspects:

• Distribution of an attractive and standard-setting product offer for women over thirty, centred on clothing and the home, that combines own brands, a selection of outside brands and a selective marketplace;
• Excellent customer service, with the operational strengthening of La Redoute in three fundamental areas: the performance of the online store, the reliability and speed of delivery and the quality of after-sales service. La Redoute will continue to rely for deliveries on its preferred partner, Relais Colis, which will continue to grow its business in terms of new customers and accelerate the launch of new services.

The activity of the international subsidiaries will be given fresh impetus by marketing the offer in 24 countries, refocusing the company’s own business on its key markets.

The transaction is in line with Kering’s long-term strategy to sell retail units and focus on its luxury businesses.

Rationale

• Continue and accelerate La Redoute’s transformation within the framework of a long-term industrial plan, capable of ensuring a return to growth
• Enable Kering to focus on core luxury businesses, in line with its long-term strategy plan

La Redoute at a glance

La Redoute is a multi-specialist in ready-to-wear and home ware with 10 million active customers worldwide. La Redoute is the second biggest retailer of women’s clothing and the third biggest for household linen in France. Laredoute.fr is the No.1 clothing and home ware website for retail sales in France, with an average of 7 million individual visitors per month. In 2013, online sales accounted for more than 85% of the brand’s France revenues.