German Online fashion retailer Mytheresa jumps 37% in NYSE debut



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German Online fashion retailer Mytheresa jumps 37% in NYSE debut

Mytheresa, the Munich-based online luxury fashion retailer previously owned by Neiman Marcus Group, had witnessed a breakneck rally at its US market debut on Thursday as the German online fashion retailer’s shares’ prices spacedived more than 37 per cent, proffering the Munich-based retailer a market valuation of $3.08 billion.

In factuality, ADSs (American Depository Shares) of Mytheresa, opened up at $35.85 per share at their US public market debut, well above an Initial public offering (IPO) of $26 per share. On top of that, the German online luxury fashion retailer that houses a swathe of apparels of big-league brands ranging from Gucci to Prada to Saint Laurent and Fendi, had targeted to sell 15.6 million ADSs in its IPO at a price range between $16 to $18 apiece, however, Mytheresa’s IPO went well above its target range, while the German fashion retailer had raised a stark upsum of $406.8 million with an IPO pricing of $26 per share as beforementioned.

Mytheresa shares surge 37% in US public market debut

If truth is to be told, a sharp rise in Mytheresa shares’ prices had reflected a higher investors’ appetite for newer stocks following a rancorous 2020, while Mytheresa had also benefitted from the pandemic-driven restrictions, as pandemic-wary shoppers across the United States and Europe seemingly turned online and led to an Apollonian rise in internet shopping.

In tandem, Mytheresa said earlier in a regulatory filing with the US SEC (Securities and Exchange Commission) that the Munich-based luxury fashion retailer had shelved a net income of €6.4 million in fiscal 2020, while its net sales rose to €449.5 million last year.

Mytheresa, which has over 486,000 active customers, had been established as a fashion store back in the 1990s by a Susanne and a Botschen, while the founders had launched an online version of the shop in 2006 and sold off the business to luxury departmental store chain Neiman Marcus in 2014.

Nonetheless, Neiman Marcus went bankrupt during a pandemic-associated pandemonium earlier last year, while Mytheresa was expected to capitalize on the fresh financing to cover up the costs of its spin-off from Neiman Marcus alongside to stir up an expansion strategy, a spokesperson for Mytheresa said earlier last week.