Farfetch will cut between 25% and 30% of its global workforce as part of a group restructuring after Jose Neves left the platform’s leadership on Thursday, an official source confirmed to Lusa.
“After assessing key priorities and resources across the business, we have made the difficult but necessary decision to reduce headcount globally.” [número de trabalhadores] and redundant features,” the same source said.
“This decision allows us to support the future of the business and, as a result, allows Farfetch to operate in a stronger position and focus on what it does best: delivering exceptional experiences to brands, boutiques and customers,” he stressed, ensuring that “Portugal continues to be an important base for Farfetch.”
The group’s latest full report and accounts for 2022 counted almost 6,800 Farfetch employees.
Even before the deal to acquire Farfetch by South Korea-based Coupang, which was struck in January, it was already reported that the company could undergo a restructuring with layoffs initially expected to include 800 workers, but this could be expanded to 1,700 or two thousand people.
Meanwhile, Farfetch founder Jose Neves left the luxury brand sales platform this Thursday and was replaced by Coupang group’s Beom Kim, an official source confirmed to Lusa.
“From today [quinta-feira]Jose Neves no longer holds the position of CEO [presidente executivo] from Farfetch. Bom Kim and the Farfetch executive team will lead the company on an interim basis,” the same source said. In addition to CEO Jose Neves, eight other names have left the board, according to the newspaper. Echo.
Coupang has completed its purchase of Farfetch’s assets, providing “access to $500 million.” [466 milhões de euros] in the capital” group founded by José Neves, according to a statement released in January.
“This acquisition will enable Farfetch to continue to provide exceptional service to its partner brands and boutiques, as well as its more than four million customers worldwide,” the same note said.
Kupang believes that by leveraging its operational and logistics capabilities, “Farfetch is now well positioned for sustainable and smart growth.”
Farfetch, the luxury brand sales platform founded in 2008 by José Neves with its tax headquarters in London and which became Portugal’s first billion-euro unicorn (a startup worth over a billion euros), has been losing money and has been losing money lately. big losses in the stock market after two years of gains in 2021 and 2022, when it benefited from an online trading boom.
In the second quarter of last year, Farfetch reported a loss of 258 million euros ($281.3 million), compared with a profit of 62 million euros ($67.6 million) in the same period last year, with revenue falling to 526 million euros ($572 million). million compared to 579 million in the same period last year), and group adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) deteriorated to negative €28 million ($30.5 million).
Farfetch’s Q3 2023 results presentation was scheduled for November 29, when it also expected news from a strategy and management perspective, but was canceled by the company.
In Portugal, there were fears that the company’s situation could jeopardize the completion of the Fuse Valley real estate project in Lesa do Balio, in the municipality of Matosinhos, a €200 million investment shared with construction company Braga Castro Group.
Author: morning Post This Lusa
Source: CM Jornal

I’m Tifany Hawkins, a professional journalist with years of experience in news reporting. I currently work for a prominent news website and write articles for 24NewsReporters as an author. My primary focus is on economy-related stories, though I am also experienced in several other areas of journalism.