Global Fashion Group is aiming to raise €120 million via an equity raise with the share placement being launched immediately and the new shares only offered to institutional investors.

The company, which operates international fashion e-tail brands including Dafiti, Lamoda, Zalora and The Iconic, intends to use the net proceeds “to further accelerate the delivery of its mid-term growth strategy by additional investments in its customer value proposition, technology platform, delivery infrastructure, and for general corporate purposes”.

It’s planning to “take advantage of the increased marketplace base, broader assortment and improved unit economics to accelerate fashion e-commerce adoption in its markets as well as to increase loyalty and shopping frequency with its customers”.

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The company has been expanding fast in recent periods and while it’s loss-making on a statutory basis, it has seen profitable quarters on an adjusted EBITDA basis, and its overall results have been on an upwards trajectory.

Back in July, its preliminary Q2 figures showed improving profitability and cash flow and that it was making the most of the shift towards e-commerce in this most difficult year.

It said at the time that “customer acquisition, Marketplace share growth and brand relationships have been accelerated” over the previous few months.