US-based Draper Oakwood Technology Acquisition (DOTA) has signed a definitive business combination agreement with Singapore-based online luxury marketplace Reebonz.
Established in 2009, the online luxury platform allows customers to buy and sell new and pre-owned goods. It has more than 350 employees and 5.5 million members.
The company currently has a presence in ten countries, including Malaysia, Indonesia, Taiwan, Hong Kong, Thailand, Australia, South Korea, China, and the US.
Both companies will become subsidiaries of a newly created Cayman Islands exempted company, DOTA Holdings.
Following the deal, DOTA will rename Reebonz as Reebonz Holding Limited and the current management team of the online marketplace under Lim will lead the combined entity.
Reebonz chief executive officer and co-founder Samuel Lim said: “Operating as an eco-system for new and pre-owned luxury fashion, where buyers become sellers and sellers become buyers, we offer a trusted way of accessing luxury fashion where few choices existed.
“Through our data, we are able to offer predictive analytics, personalisation and dynamic pricing, which increases engagement and enhances the lifetime value of our customers.
“We emphasise on providing localisation and will continue to scale the business across Southeast Asia and Asia-Pacific, and provide our members a differentiated omnichannel, mobile, and social experience when they shop with Reebonz.”
As part of the agreement, Reebonz shareholders will assume around 70% of the shares in the newly formed entity.
The transaction is subject to certain terms and conditions defined in the agreement and is expected to close in the fourth quarter of this year.