Farfetch has received a $250 million investment from Chinese internet giant Tencent Holdings and San Francisco-based investor Dragoneer to help it expand and grow. Tencent and Dragoneer are each investing $125 million in convertible senior notes issued by the luxury fashion platform.
“I am pleased to have Tencent and Dragoneer as part of the Farfetch investor base,” said José Neves, founder, co-chair, and CEO at Farfetch. “Tencent’s deep technology expertise and ongoing relationship with Farfetch, paired with Dragoneer’s expertise in supporting growth-oriented technology companies, makes both investors outstanding partners to support Farfetch’s next chapter of growth. As we continue to execute on our long-term strategy, we believe that this investment supports Farfetch in delivering on the significant opportunity we see and scaling our business to achieve profitability in the medium term.”
Tencent’s investment in Farfetch elevates the ongoing relationship between the two companies, which, through Farfetch’s role as the premier luxury gateway to China, is helping western luxury brands reach the Chinese consumer through Tencent’s WeChat platform.
Farfetch currently powers a roster of more than 80 luxury brands on WeChat, including Moncler, Balenciaga, Saint Laurent, Armani and Ralph Lauren, and is a partner to these brands for new developments and launches on WeChat.