Zalando and About You, two of Europe’s leading online fashion platforms, have officially merged in a strategic move to unite their B2C and B2B strengths. While combining forces to accelerate growth across the region, both companies will retain distinct brand identities. Zalando will unveil the first outlook for the newly formed group on August 6, alongside its second-quarter earnings for fiscal year 2025.

The European Commission approved the deal on July 1, including Zalando’s voluntary public takeover offer to About You shareholders. Zalando has now acquired 91.45% of the former Otto Group subsidiary’s share capital.

As a next step, Zalando intends to initiate a squeeze-out of remaining minority shareholders, offering them fair cash compensation. The squeeze-out will occur through a merger between About You and a wholly owned Zalando subsidiary.
Since announcing the planned merger on December 11, 2024, both companies say they’ve been preparing for this next phase—developing concrete plans to ensure a smooth transition post-merger.

“Zalando and About You both started as local startups and have grown into European success stories,” said Robert Gentz, Zalando’s co-CEO and co-founder. “We share a deep focus on quality, innovation, and staying close to our customers. Together, we’ll be a powerhouse shaping the future of fashion and lifestyle e-commerce in Europe.”

On the B2C side, the group plans to deliver differentiated and engaging shopping experiences for both customers and brands. In B2B, the integration of About You’s payment solution Scayle complements Zalando’s vision of building a full-scale operating system for the fashion and lifestyle sector.

“By combining our complementary logistics and software tools—Zeos, Tradebyte, and Scayle—we’re creating an even more robust e-commerce operating system,” the companies stated. “This will allow brands and retailers to efficiently manage multichannel businesses across Europe and beyond.”

“At the heart of this partnership is our shared mission to redefine how people shop for fashion and lifestyle products—and to bring real value to our customers and partners,” said Tarek Müller, co-CEO and co-founder of About You. Gentz added, “This strategic transaction unlocks major collaborative opportunities while allowing About You to retain its identity and entrepreneurial energy.”

Back in December 2024, Zalando reaffirmed its mid-term outlook for the combined group. By 2028, the company expects compound annual growth of 5 to 10 percent in both gross merchandise volume (GMV) and revenue.

The merged entity is also targeting an adjusted EBIT margin of 6 to 8 percent—representing a significant boost in absolute earnings.
Together, the companies aim to capture a larger share of Europe’s €450 billion fashion and lifestyle market.

Zalando will release its first official outlook for the combined business when it reports second-quarter results on August 6.