Press Release

‍Berlin, February 1st, 2024

WETHEBRANDS and Mantaro Brands Announce Landmark Merger, Forging a New Path in E-Commerce

In a strategic move that marks a significant shift in the e-commerce landscape, WETHEBRANDS and Mantaro Brands have merged to create a new,   powerful player in the e-commerce space, operating under the WETHEBRANDS brand.

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"After an extensive process, we have identified the alliance that addresses our industry's main challenges: positioning ourselves as a rock solid all-equity player in a highly over-leveraged environment, achieving operational excellence and ensuring fast integration of new targets by leveraging our tech platform TAROx, as well as utilizing a strong product incubation engine to fuel our combined organic growth," said Nicolai von Enzberg, Co-CEO.

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This synergistic partnership, combining two debt free players, is expected to supercharge growth and set the newly formed entity on a path to compete in the market with double the revenue size and market share.

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In order to unlock significant synergies, a joint integration program is set to roll out in Q1 2024, focusing on efficiency while maintaining operational excellence. The merger offers numerous operational synergies, setting the stage for a robust, debt-free financial structure that will be resilient in the face of current market volatility and providing sufficient debt-capacity in the future.

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“Operational excellence is key to our success. We are dedicated to optimizing our operations to provide superior service to our sellers, partners, and customers. With a sharp focus on efficiency and cost leadership in our operations, we are poised to lead the way in the aggregator industry,”  said Christoph Baumann, COO.

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The primary objective of this merger is to foster sustainable profitability and to further acquire ecommerce aggregators and medium-sized standalone brands. The transaction is structured as a merger of equals, which includes the infusion of additional equity and the creation of new share capital to facilitate future merger opportunities.

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Reflecting on the merger, the new management underscores the value it brings to all stakeholders. "This is not just a merger; it’s the first step in a strategic evolution of the entire business model. We are committed to pursuing future mergers that will not only enhance our portfolio but also drive consolidation within the e-commerce industry,” said Jaschar Hupperth, Co-CEO.

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Investors are invited to seize this opportunity through a new funding round beginning in early 2024, which promises attractive terms and a chance to be part of a formidable market force. Under the new structure, the merged entity will operate as WETHEBRANDS, with Jaschar Hupperth and Nicolai von
Enzberg appointed as Co-CEOs, and Christoph Baumann as COO. The company is headquartered in Berlin, Germany. Closing of the transaction is
expected in Q1/2024.

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Media Contact:
press@we-the-brands.com

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