Online fashion retailer Boohoo announced on Wednesday its acquisition of Revolution Beauty Group.
Revolution Beauty Surged 18% following the announcement.
The retail company reported its most recent strategic investment amounted to a 7.1% stake in Revolution Beauty. Boohoo already sells Revolution Beauty products through several of the group’s direct-to-consumers brand websites.
Boohoo shares declined 2.87% this morning. Furthermore, the stock has tumbled 52% this year following inflationary issues that have taken a toll on Boohoo’s revenue and profits.
Meanwhile, despite a fall in Boohoo’s share price, its organic traffic has increased this year. Interest in Boohoo’s website remains strong despite a disappointing performance for investors.
However, it is important to note that its recent gains in 2022 are still significantly below the highs shown in 2020.
In addition, Google Trends shows interest over the last year has declined for Boohoo. Therefore, a fall in the stock may be warranted as its consumer metrics continue to fall.