Farfetch in talks with Apollo Global for rescue deal

Online luxury retailer Farfetch is in talks with Apollo Global Management to secure emergency funding for shoring up its finances, Sky News reported on Wednesday.

Shares of the company were up nearly 12% following the news.

Farfetch is in discussions with several parties about securing new financing and Apollo was only one of several firms in discussion, according to the report.

Apollo Global and Farfetch did not immediately respond to Reuters’ requests for a comment.
The report indicated it was unclear whether the new capital would be provided as debt or equity, or a combination of the two and that a deal was far from certain to be reached.

In November, the Telegraph first reported Farfetch founder and CEO José Neves was in talks with top shareholders, including Cartier owner Richemont, to take the company private.

However, Richemont said it would not inject any cash into the online luxury retailer.

Founded in 2007, London-based Farfetch debuted on the New York Stock Exchange in September 2018 and has had a tumultuous time through its listing, as the company grappled with weakening demand in the U.S. and China.