MySale will relaunch British etailer Cocosa in the UK as well as rolling it out overseas, Drapers understands.
As the Australian flash Sales site recovered this week from a chaotic UK public listing, a source close to MySale – which bought Cocosa in May - confirmed the relaunch plans to Drapers. The luxury flash sales site will be relaunched later this year.
“MySale will bring it to other markets, including its home, Australia, in time,” the source said. He added Cocosa was unlikely to cannibalise MySale’s market share as the latter is more focused on premium and mainstream brands, as opposed to the luxury end of the market.
It is understood MySale is working on plans to launch Cocosa internationally later this year. MySale plans to set up a UK version of its own site next month.
Cocosa offered high-end labels including Karl Lagerfeld, Matthew Williamson, Liberty and Temperley London before it was wound down in February. It is understood that at least two companies were bidding to take the business on, but no deal was secured at the time.
The etailer was mistakenly listed to start trading on London’s Alternative Investment Market (Aim) with a share price of £2.26 rather than 226p, which some automated trading programmes interpreted as 2.26p, sparking an automatic sell-off of stock in reaction to the low price.
Shares slumped to a low of 166p on Monday but by the close of trading that day had rallied to 210p, 7% below the offer price. At the time Drapers went to press on Wednesday (June 18) the share price stood at 175p.
The £40m MySale raised through the float will be used to offer incentives to encourage further subscriptions when entering new markets, as well as securing further “strategic acquisitions”.
MySale has more than 10.5 million members and operates flash Sale sites in eight countries: Australia, New Zealand, Singapore, Thailand, Malaysia, Hong Kong, South Korea and the US.