Chinese e-commerce solutions provider Baozun has completed the acquisition of Gap (Shanghai) Commercial Co Ltd, per an announcement on Wednesday.
The deal was announced last November when Baozun said it had signed definitive agreements to acquire Gap Greater China in an all-cash transaction worth $40 million, with a cap of $50 million. The acquisition has now been completed after being cleared by government administration, according to a company statement.
Gap Greater China was wholly owned by American clothing and accessories retailer Gap Inc. It offers apparel, accessories, and personal care products for women, men, and children. It opened its first store in China in 2010.
Effective February 1, 2023 and following the acquisition of Gap Shanghai, Baozun will run Gap’s operations in Mainland, Hong Kong and Macao, China. Gap Greater China will become part of the Baozun group, under its business line Baozun Brand Management.
Backed by Jack Ma’s Alibaba, Baozun is a one-stop e-commerce solutions provider primarily serving foreign brands with operations in China. Some of the company’s service offerings include IT solutions, online store operations, digital marketing, and customer service. Its brand partners include industry giants such as Philips, Nike, Microsoft, and Haagen-Dazs, according to its company website.
Baozun, headquartered in Shanghai and founded in 2007, listed on NASDAQ in 2015 and completed its secondary dual-listing on the Hong Kong Stock Exchange in 2020. Aside from Alibaba, some of its other investors include Goldman Sachs, SoftBank, and Israeli-Chinese management and investment fund Infinity Group.
In February 2021, Baozun wholly acquired Singapore’s luxury brand management company Full Jet for an undisclosed amount.