José Neves, the visionary behind Farfetch since its inception in 2008, is stepping down as CEO amidst a sweeping transformation following the recent acquisition of the struggling e-commerce platform by Coupang and Greenoaks Capital. This significant restructuring also involves the departure of key executives, including Browns’ Elizabeth Von Der Goltz and Kelly Kowal, the head of Farfetch Platform Solutions.

Neves’ decision comes within the context of broader changes occurring within Farfetch’s management. According to an internal memo obtained by WWD, Neves will transition into a consultancy role within Farfetch, with no immediate successor named for the CEO position. Going forward, the leadership of Farfetch will be assumed by Bom Kim, the founder of Coupang, along with the existing executive team at Farfetch.

The departure of Neves and other executives is part of a comprehensive strategy aimed at streamlining Farfetch’s operations and reallocating resources for sustainable growth. The company has already initiated significant layoffs, with further reductions anticipated in the coming days.

Coupang, a Fortune 200 company spearheading the acquisition, aims to strengthen Farfetch’s financial stability while upholding its commitment to delivering exceptional experiences for brands and customers. The overarching goal is to optimize operations and leverage Farfetch’s expertise in the luxury e-commerce sector.

Although specific details regarding the extent of layoffs remain undisclosed, it is evident that Farfetch significantly expanded its workforce during and after the pandemic to meet the rising demands of consumers.

Neves, recognized for transforming Farfetch into a multi-billion dollar enterprise, had anticipated a continued role within Coupang as the integration of Farfetch unfolded. Coupang finalized the acquisition of Farfetch in December, subsequently assuming full control of the platform and delisting it from the Nasdaq.

As part of its growth strategy, Coupang seeks to consolidate Farfetch’s position in the luxury e-commerce market, catering to its global customer base of over four million individuals. The company is committed to fostering sustainable growth while aligning Farfetch with its broader vision for expansion into fashion and luxury goods services.

In recent months, Coupang has embarked on a meticulous assessment of Farfetch’s operations, prioritizing efficiency and profitability. Marketing efforts will be redirected towards driving transactions, with continued emphasis on Farfetch Platform Solutions (FPS) as a cornerstone of the business.

Simultaneously, negotiations are underway to divest non-core assets within Farfetch’s portfolio, such as Browns and New Guards Group. Potential buyers, including Style Capital and Mike Ashley’s Frasers Group, have expressed interest in these assets.

Despite Coupang’s ambitious plans for Farfetch, challenges persist, including legal disputes with bondholders contesting the acquisition. The resolution of these issues will be pivotal for the seamless integration and future growth of Farfetch within the Coupang ecosystem.