Victoria’s Secret & Co. (Reynoldsburg, Ohio) has signed a definitive agreement to acquire Adore Me Inc., a digitally native intimates brand.
“Adore Me is a technology-led, digital-first innovator in the intimates category that will help us bring differentiated experiences to Victoria’s Secret and PINK customers,” said Martin Waters, CEO, Victoria’s Secret & Co., which operates 1350 stores in 70 countries. “This acquisition will be a significant accelerant as we pivot toward growth and modernize the foundation of our company with an entrepreneurial mindset that puts technology at the forefront of everything we do.”
Adore Me views the deal as a chance “to bring our technology, purchase experiences, to the next phase of Victoria’s Secret’s growth and customer journey transformation,” Morgan Hermand, the firm’s Founder and CEO, said in a news release.
Adore Me says its “Home Try-On” offering generates strong retention among its customers with a personalized product experience and has achieved scale by leveraging a complex combination of proprietary logistics, algorithms and operational assets. This shopping experience will complement Victoria’s Secret’s physical store offering, the companies say.
The transaction is expected to close by the end of January 2023, subject to customary closing conditions and regulatory clearances. The structured transaction includes an initial upfront $400 million cash payment and further cash considerations, a portion of which is fixed, and part of which is based on Adore Me achieving specified performance targets over a two-year period.