Lefosse advises Kabum on sale of e-commerce platform to Magazine Luiza in R$3.5 billion deal
Lefosse Advogados has advised Kabum and its partners in the sale of its technology and games e-commerce platform to Magazine Luiza. The transaction is the largest in the history of electronic commerce in Brazil, surpassing the deal between Submarino and Americanas in 2006, with a transaction worth R$3.5 billion, according to information published in the press. The announcement was made on Thursday (15).
The acquisition will be made by a R$1 billion payment in cash, as well a merger of shares of Kabum by Magazine Luiza, as a result of which Kabum will become a wholly owned subsidiary of Magazine Luiza. According to the company’s material fact 75 million Magazine Luiza’ shares and subscription bonus to subscribe up to 50 million shares will be issued in favour of the Kabum’ shareholders.
“Our performance in this important deal reinforces the strategic movement of large groups in the technology sector. We have adopted a multidisciplinary approach that allows us to participate in negotiations as experts in the most diverse businesses in extremely promising areas in Brazil and abroad,” said Rodrigo Junqueira managing partner of Lefosse Advogados.
Still on the technology front and the IPO sector, the firm’s role in the initial offers of companies and online platforms – such as Enjoei and GetNinjas – has been outstanding, with combined transactions exceeding R$1.5 billion. According to data provided by the Spanish consultancy TTR (Transactional Track Record), the number of mergers and acquisitions in Brazil between January 1st to July 15th, grew 63% compared to the same period in 2020. The number of transactions increased from 65 to 106.
About Lefosse Advogados
Lefosse Advogados is a full-service law firm that offers specialized consultancy in all legal practices. The firm has a substantial amount of experience in sophisticated legal services in national and international business. Lefosse employs more than 300 professionals in the legal body and is recognized in the main rankings and global legal awards such as Chambers Brazil 2021, The Legal 500 and Elite Office 2021 by Latin Lawyer. Lefosse’s business is built on diversity and our professionals have extensive experience in strategic markets. The firm adopts a multidisciplinary practical approach in the areas of law.
Practices: Corporate and M&A, Capital Markets, Tax, Banking and Finance, Private Equity, Compliance, Real Estate, Wealth Planning, Restructuring and Insolvency, Dispute Resolution and Arbitration, Labour, Competition and Antitrust, Tech, Data Protection and IP, Anti-Corruption and Regulatory Investigation, Environmental, Public Law and Regulation, Corporate Penalty, Energy and Infrastructure, Investment Funds and Oil and Gas.