On Tuesday (July 10), L Catterton Asia, the Asian unit of consumer-focused private equity firm L Catterton, and Chinese retailer JD.com announced a strategic partnership with Secoo Holding Limited, one of Asia’s online integrated upscale products and services platforms. Through the partnership, L Catterton Asia and JD will invest $175 million in Secoo, the companies said in a press release.
Secoo is among the world’s leaders in the online luxury fashion retailer market and provides customers with upscale products and lifestyle services on its integrated online and offline shopping platforms, which offer more than 300,000 SKUs covering more than 3,000 global and domestic brands. By partnering with L Catterton Asia, Secoo will be able to tap the firm’s global fashion and retail expertise to further expand within the luxury market, collaborate with existing L Catterton portfolio companies and continue enhancing shareholder value and strengthening its position in the fast-growing Chinese luxury eCommerce market.
“We believe that Secoo is one of the strongest high-end platforms for … Chinese consumers. We look forward to working together with Richard and his outstanding team to take Secoo to the next level and continuously build out the platform for high-end consumers,” said Ravi Thakran, chairman and managing partner of L Catterton Asia.
Meanwhile, Shengli Hu, the president of JD Fashion & Lifestyle, said in the same press release that the partnership will enhance its luxury capabilities and provide the best possible luxury shopping experience to consumers in China.
“Chinese consumers are increasingly discerning about their luxury purchases. As we look to continue to meet this demand, we see many potential areas for future collaboration with Secoo,” he said.