for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up
Deals

Alibaba looking to invest in online fashion retailer Farfetch: The Information

(Reuters) - Alibaba Group Holding Ltd 9988.HK is in advanced talks to invest nearly $300 million in online luxury fashion retailer Farfetch Ltd FTCH.N, the Information reported on Monday, citing people familiar with the matter.

Shares of London-based Farfetch jumped about 16% to $32.59 following the news.

The two companies are also in talks to create a Chinese joint venture, the report said here, adding that Cartier-owner Richemont, which has teamed up with Alibaba to create mobile applications, is also considering investing in Farfetch alongside the Chinese e-commerce giant.

Both Farfetch and Alibaba were not immediately available for a comment.

Farfetch, which counts Alibaba's competitors JD.com 9618.HK and Tencent Holdings Ltd 0700.HK among its investors, has been betting on China's burgeoning online luxury goods world. Chinese consumers make up a third of luxury goods purchases worldwide.

Terms of the current and past deals with Tencent and JD would not prevent Alibaba from investing in Farfetch, the Information said, citing a source.

Reporting by Nivedita Balu in Bengaluru; Editing by Shinjini Ganguli

for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up