Korean fashion unicorn startup Musinsa will acquire a 100% stake in fashion platform StyleShare and 29CM. The acquisition value is $265 million or 300 billion won.
Companies to work towards mutual growth
The two fashion startups are aspiring to challenge the global market based on community and content. With this acquisition, Musinsa will secure Styleshare’s brand discovery know-how and core competencies necessary for building a global platform. StyleShare and 29CM are expected to make a more extensive attempt in the women’s fashion and high-sensitivity lifestyle market by utilizing Musinsa’s brand investment and growth support infrastructure.
Even after the acquisition, Musinsa, StyleShare, and 29CM will maintain an independent management system to sustain the unique characteristics of each platform. The Korean fashion companies will adopt an integrated strategy and create synergy plans to focus on supporting the growth of the brand and the infrastructure for upgrading the platform. Musinsa is expected to accelerate the development of fulfillment centers to establish an integrated logistics system by expanding the targets of the current brand win-win growth program to the Styleshare and 29CM stores.
Looking for global distribution of K-Brand
Man-ho Cho, CEO of Musinsa, said to the media, “It is essential to enter the overseas market in order to activate the domestic brand fashion ecosystem and provide more diverse fashion content to customers.” It will be an opportunity to leap forward as a global fashion distribution platform so that we can grow into a K-brand that we receive.”
Ja-young Yoon, CEO of Styleshare and 29CM, said, “Three services that have created a fandom with distinct personalities by generation and taste in the domestic fashion and lifestyle market will be able to advance toward a larger market with domestic brands by utilizing the strengths and know-how.” and said, “We will grow by pursuing synergy as a global fashion e-commerce without losing the identity of each service so that we can give unchanging satisfaction to our existing customers and brands.”
Musinsa, founded in 2001, an online fashion platform, has garnered huge success, especially among the Korean youth. It provides Korean fashion brands through collaboration and special promotional events besides a regular selling of fashion cloths and accessories.
StyleShare, established in 2011, is a realtime mobile and online platform that allows users to share and receive updates on fashion and beauty. With millions of users from 120 different countries, StyleShare is a top mobile platform for those interested in everyday fashion and beauty. In 2018, StyleShare acquired a 100 % stake in 29CM, a popular e-commerce site that sells clothes, lifestyle goods, home appliances, food, and beverages
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