Proactive Investors - Farfetch (OTC:FTCHF) Limited (NYSE:FTCH) CEO and founder José Neves has left the company following its acquisition by South Korean e-commerce giant Coupang in December.
Other key executives have also exited the online retailer of luxury fashion including its chief financial officer, chief product officer, chief platform officer, chief marketing officer, and chief operations officer, with additional layoffs starting from Friday, according to an internal memo seen by media outlets.
“As we assessed key priorities and resources across the business, we made the difficult but necessary decision to reduce global headcount and redundant roles,” a Farfetch spokesperson said in a statement announcing Neves's exit.
“This decision secures the future of the business and as a result, Farfetch can now operate from a position of strength and focus on what we do best: deliver exceptional experiences for brands, boutiques and customers.”
Neves’ successor has not been named and Coupang will oversee the business until a new CEO is appointed, Farfetch said.
Amid financial challenges following its rapid expansion, Farfecth announced in December that it had secured a $500 million bridge loan from Coupang allowing it to avoid bankruptcy.
The acquisition took Farfetch, which had listed on the New York Stock Exchange at a valuation of $6.2 billion in 2018, private. It is now valued at about $1 billion.