Boohoo.com gains US court approval for Nasty Gal acquisition

Online fashion retailer Boohoo.com has gained approval from a US bankruptcy court to buy US clothing retailer Nasty Gal for $20m.

The court approved the acquisition of Nasty Gal’s intellectual property assets and customer databases and the deal is now subject to closing conditions, which are expected to complete on 28 February.

The AIM-listed company said in December 2016 that it had entered into an asset purchase agreement to buy Nasty Gal.

Boohoo was notified on Monday by Nasty Gal's counsel that no acceptable qualifying bids had been received for the intellectual property assets and customer databases and so no auction will take place.

In a statement, joint chief executives Mahmud Kamani and Carol Kane said: "We are delighted to have been successful in our bid to acquire Nasty Gal. It represents an exciting opportunity to accelerate our international offering and inspire an ever-growing range of young customers in the US and around the world."

Shares in Boohoo.com were up 3.15% to 139.25p at 0944 GMT.