Consumer-focused private equity firm L Catterton Asia and China-based retail major JD.com will invest $175m in online luxury fashion retailer Secoo Holding.
As part of the collaboration, the fashion retailer will use the investment to further expand its presence in the Chinese luxury e-commerce market and improve shareholder value.
L Catterton Asia chairman and managing partner Ravi Thakran said: “We believe that Secoo is one of the strongest high-end platforms for the 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.”
The partnership will also provide an opportunity for the fashion retailer to partner with existing L Catterton portfolio companies.
JD Fashion & Lifestyle president Shengli Hu said: “This partnership will help us enhance our 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.”
Based in China, Secoo offers a range of upscale products and lifestyle services, including more than 300,000 SKUs covering 3,000 global and domestic brands through its integrated online and offline shopping platform.