Global Blue Acquires ZigZag Global, a Leading E-Commerce Returns Platform

Global Blue today announced the acquisition of ZigZag, a leading Software-as-a-Service (SaaS) technology platform that helps retailers manage worldwide e-commerce returns and exchanges more profitably, and consumers to enjoy a smoother and enhanced return experience.

 

  • ZigZag is a leading Software-as-a-Service (SaaS) technology platform that enhances the e-commerce returns experience for consumers and streamlines the returns process for retailers across the globe
  • ZigZag is a fast-growing company and an emerging leader serving the dynamic and expanding worldwide e-commerce market
  • With ZigZag, Global Blue extends its product set, complementing its Tax-Free Shopping and Added Value Payment Services propositions and advancing its mission to become a strategic omni-channel technology and payment partner for merchants
  • Global Blue, listed on the New York Stock Exchange (Ticker: GB), has raised $70 million via a private placement of common stock issued to new institutional investors to fully fund the ZigZag acquisition

ZigZag Enables Merchants to Optimise Their E-Commerce Growth

E-commerce returns are a big problem for retailers with more than 40% of orders on average being returned.

ZigZag’s technology platform addresses this issue by digitalising the e-commerce returns process and improving the returns experience for both consumers and retailers.

It replaces outdated paper-based “label in the box” solutions with a best in class online returns portal that offers a greater range of shipping options including post office, parcel shops, lockers and collection from home, as well as exchange alternatives.

In parallel, it optimises retailers’ profitability by reducing logistical costs via consolidation, local market resale, and inbound consumer queries, as well as by allowing exchanges versus simply return of goods.

With e-commerce expanding rapidly and further accelerating during the COVID-19 pandemic, an efficient returns platform is key to both mass and luxury retailers, who are experiencing accelerating growth in their online sales and operations.

ZigZag’s platform integrates with over 30 leading merchant e-commerce software platforms, enabling retailers to access ZigZag’s reverse logistics network comprising 450+ carrier services and 220 warehouses in 130 countries.

As of December 2020, Zigzag’s technology powered approximately 100 global e-commerce retailers and recorded dramatic growth of more than 500% of its processed returns in 2020 versus 2019.

Global Blue and ZigZag Combination Creates Complementary Benefits

With both companies operating in the retail ecosystem, Global Blue and ZigZag will join forces to empower merchants to capture growth opportunities through omnichannel technology and payment solutions.

With e-commerce business booming and becoming even more crucial for luxury brands, Global Blue will benefit from ZigZag’s e-commerce expertise, extending its relationships with its existing and future clients.

In parallel, ZigZag will enhance its rapid growth by cross-selling its solutions into Global Blue’s extensive merchant network and by enhancing its value proposition through integration of Global Blue’s payments and data capabilities.

$70 Million of Equity Capital Raised to Fund the Acquisition

Global Blue, listed on the New York Stock Exchange (Ticker: GB), has raised $70 million via a private placement of common stock issued to new institutional investors to fully fund ZigZag acquisition. Deutsche Bank Securities Inc. is acting as equity private placement agent.

With this first acquisition since our listing on the New York Stock Exchange in August 2020, Global Blue has the ambition to become a strategic omni-channel technology and payments partner empowering merchants to capture growth opportunities.

ZigZag is an exciting, fast-growing, emerging leader in e-commerce, specialised in the management of e-commerce returns. The synergies between the two companies are strong and will help both of us to grow faster.

Jacques Stern
CEO and President, Global Blue

As a market leader focused on technological innovation for merchants and consumers, Global Blue is an ideal fit for ZigZag. We are confident that our partnership and our ambitious joint investment plan will accelerate our growth even further.

Al Gerrie
CEO and Founder, ZigZag

The transaction is expected to close by the end of March 2021.

Media Contacts

Virginie Alem – SVP Marketing & Communications
Mail: valem@globalblue.com

Investor Relations Contacts

Frances Gibbons – Head of Investor Relations
Mob: +44 (0)7815 034 212 
Mail: fgibbons@globalblue.com

ABOUT GLOBAL BLUE

Global Blue pioneered the concept of Tax Free Shopping 40 years ago. Through continuous innovation, we have become the leading strategic technology and payments partner, empowering retailers to improve their performance and shoppers to enhance their experience.

Global Blue offers innovative solutions in three different fields:

  • Tax Free Shopping: Helping retailers at over 300,000 points of sale to efficiently manage 35 million Tax Free Shopping transactions a year, thanks to its fully integrated in-house technology platform. Meanwhile, its industry-leading digital Tax Free shopper solutions create a better, more seamless customer experience.
  • Payment services: Providing a full suite of foreign exchange and Payments technology solutions that allow acquirers, hotels, and retailers to offer value-added services and improve the customer experience during 31 million payment transactions a year at 130,000 points of interaction.
  • Complementary RetailTech: Offering new technology solutions to retailers, including digital receipts and eCommerce returns, that can be easily integrated with their core systems and allow them to optimize and digitalize their processes throughout the omni-channel customer journey, both in-store and online.

In addition, our data and advisory services offer a strategic advisory to help retailers identify opportunities for growth, while our shopper experience and engagement solutions provide data-driven solutions to increase footfall, convert footfall to revenue and enhance performance.

For more information, visit http://www.globalblue.com/corporate/

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