ZV-Impex Kereskedelmi Bt., the owner of hdiShop, has acquired Dressa.hu, resulting in the creation of one of the largest, 100% Hungarian-owned webshops selling clothes, according to a press release sent to the Budapest Business Journal.
Following the fusion, the company running under the Dressa brand is expected to return a yearly turnover of HUF 1 billion. The medium-term plans of the company also involve entering markets abroad, the press release notes.
The deal took place at the beginning of April, a month after ZV-Impex signed the contract regarding the purchase of Dressa.hu with InVenturio Zrt., belonging to one of the Wallis Groupʼs capital venture funds. The fusion is expected to be completed by 2020.
Established 16 years ago, Szeged-based hdiShop, formerly known as Harisnyadiszkont, is a webshop selling quality underwear and lingerie. Last year the company increased its turnover by 45%, bringing it above the HUF 300 million mark. Budapest-based Dressa.hu sells quality outerwear products. Together, the total turnover of the two companies exceeded HUF 500 mln.
"The acquisition of Dressa.hu is an important milestone in our lives, which, apart from significantly improving our position on the market, offers an opportunity to serve our customers with an ever-broader selection and at a higher quality," said Zoltán Csányi, owner of ZV-Impex. "We have decided to carry on operation under the better-sounding Dressa brand in the future. With the fusion, consumers will benefit the most, as we will retain the good things from both webshops, be it a service or a product."
According to data from GKI Digital, turnover of online retail in Hungary reached HUF 425 bln in 2018, representing a 17% increase compared to 2017. This amounted to a 4.5% share of total retail turnover in the country. The entire clothing market in Hungary amounted to HUF 660 bln, with e-tail accounting for HUF 33 bln.
"The merger of hdiShop and Dressa.hu is also important because we can offer a service and product range which represents a real alternative to shopping abroad," Csányi noted. "I hope that with this step, trust in the domestic online clothing market will keep strengthening, and that ever more people will utilize the opportunities offered by us."