Fashionette AG plans to sell the discontinued Beauty and Smartwatches divisions in the near future.
After an initiated market exploration, the Düsseldorf online retailer assumes that the sale of the two divisions will take place in the fourth quarter, Fashionette announced on Wednesday. The proceeds from this are expected to accrue to the company by the end of the current 2023 financial year. It has not been announced to whom the divisions are to be sold.
“We have a clear profit focus and completed the turnaround at Fashionette AG this year,” said Dominik Benner, CEO of Fashionette AG. “The two closed businesses and our cost reduction and efficiency program will significantly increase our operating profit.”
Fashionette is taking several austerity measures to complete the turnaround. In March it became known that the online retailer was stopping its beauty division. A month later, the company also announced the end of trading in smartwatches. But the relocation of the company headquarters is also part of these measures. The company, which is about to merge with the e-commerce group The Platform Group, raised its earnings forecast as a result of the austerity measures.