RKET -7.39% : *DJ Rocket Internet, Kinnevik are Key Shareholders of Global Fashion Group, Valuation of Global Fashion Group Drops Sharply
BERLIN--Rocket Internet SE said it would inject additional cash in online retailer Global Fashion Group at a sharply reduced valuation, highlighting uncertainty about the value of tech startups in recent months.
Global Fashion Group will be worth 1.0 billion euros ($1.13 billion) after a EUR300 million capital increase, Rocket Internet said. In August last year, Global Fashion Group had been valued at EUR3.04 billion.
Rocket Internet has agreed to underwrite up to EUR100 million of the financing. Investment AB Kinnevik said separately it has committed to invest up to EUR200 million.