Naver Corp., known as “the Google of South Korea,” announced its acquisition of Poshmark, a “leading social e-commerce marketplace for new and secondhand style” earlier this week. Naver, per the press release, is South Korea’s largest internet company. It will buy the company for approximately $1.2B
The purchase price is a 15% premium on Monday’s closing price, and 48% over the 90-day weighted average stock price.
“The transaction will create a global player in online fashion re-commerce by combining Poshmark’s unique discovery-based social shopping platform and deeply engaged community with Naver’s technological prowess in upleveling the e-commerce experience,” the press release said.
Manish Chandra, Poshmark’s CEO, stated that ” The opportunity to join forces with Naver one of the worlds leading and most innovative and successful internet companies is a testament to the strength of our brand, operating model, and what we’ve built over the last decade with our talented team and amazing community.’
The announcement added that Naver seeks to capitalize on consumer shifts to online second-hand markets. Poshmark, the release says, will instantly benefit, through additions like “smart lens image recognition and search technologies.”
Kirkland & Ellis represented Naver in the transaction. Poshmark was represented by Goodwin Procter.
