Boohoo adds Oasis and Warehouse to its portfolio

Boohoo has added to its growing stable of brands with the acquisition of the online businesses of Oasis and Warehouse for £5.25 million as it reports impressive first quarter results.

The deal is the first to be made from its recent £197.7 million fund raising that gives it the ability to make a variety of opportunistic acquisitions and broaden its market exposure. The purchase was announced alongside its first quarter results that show a 45% year-on-year increase in revenues to £367.8 million.

Oasis and Warehouse join other acquired brands including Karen Millen, Coast and MissPap and indicate Boohoo’s objective of extending its coverage across different customer age ranges. The deal rescues Oasis and Warehouse's online business from permanent closure following their fall into administration in April. However, no buyer has been found for their store businesses.

John Lyttle, group CEO at Boohoo, said: “During unprecedented and challenging times, the group has delivered a very strong trading and operational performance. I am proud of how our colleagues and business partners from around the world have responded to ensure that we can safely bring to our customers the latest fashions, great value, fantastic prices and best in class service. Whilst there is a period of uncertainty within the markets in which we operate, the group is well-positioned to continue making progress towards leading the fashion eCommerce market globally."

After initially suffering a marked decrease in trading as a result of Covid-19, Boohoo then experienced an improved performance from all its brands and geographies throughout April and into May. This will contribute to a forecasted 25% growth in revenues for the current financial year ending 28 February 2021. Investment in the group’s infrastructure, to support future growth, is expected to come in at between £60 million and £80 million.