Farfetch sets terms for $5bn New York IPO

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Farfetch IPO

Farfetch has announced the terms of its IPO on the New York Stock Exchange, which could value the online fashion retailer at almost $5 billion.

The London-based retailer intends to raise $600 million (£467 million) by offering 37.5 million shares priced between $15 and $17.

At the midpoint of the proposed range, Farfetch would command a fully diluted market value of $4.9 billion (£3.8 billion).

This places it in league with other UK fashion giants like Asos and Burberry, which are valued at £6.3 billion and £7 billion respectively.

The news comes after Farfetch filed for an IPO last month.

The IPO has been on the cards for two years, with chief executive José Neves stating in 2016 that the company’s “next financial milestone” would be going public.

Farfetch, which was founded in 2008, generated sales of $481 million in the year to June 30.

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