Kogan.com Set To Move Into Homewares & Furniture With New Acquisition
Kogan.com has acquired the Australian, family-run furniture company Matt Blatt for $4.4 million. “Our acquisition of Matt Blatt gives us a springboard from which to expand our reach in the furniture and homewares market,” said Ruslan Kogan, CEO of Kogan.com.
In response to the COVID-19 lockdown, Matt Blatt had already moved all its operations to online. Kogan plans to keep the online-only format.
“We will be drawing on Matt Blatt’s decades of industry expertise and combining it with Kogan.com’s technology, systems and infrastructure to deliver a market-leading offering,” Kogan said.
In FY19 Matt Blatt’s revenues totalled $46.5 million, 20-25% of which came through online channels.
The move follows an unprecedented period of growth for the online retailer, witnessing a 150% year-on-year (y-o-y) increase in gross profit and a 100% y-o-y hike in gross sales. in April 2020.
As of 30th April Kogan.com had 1.94 million active customers.
Just this week the company announced on the ASX that the executive directors Ruslan Kogan and David Schafer are set to receive $50 million in bonus options if the new long-term incentive plan is approved.
As of yesterday, Kogan’s share price was sitting at $8.55, up around 41% from a year ago.