Today we’re announcing that we’ve signed a definitive agreement to acquire THE YES, an AI powered shopping platform for fashion that enables people to shop a personalized feed based on the user's active input on brand, style, and size. We believe their vast leadership, innovative technology and talented team, combining shopping expertise with fashion industry credibility, will help accelerate our vision for Pinterest to be the home of taste-driven shopping.
With hundreds of brand merchants on its platform, the team at THE YES has built an extensive fashion taxonomy that uses human expertise and machine learning to power a comprehensive algorithm in fashion. THE YES’s brand relationships and shopping expertise can potentially be applied to other categories on Pinterest such as home, beauty and food.
THE YES was founded in 2018 by CEO Julie Bornstein, an ecommerce and fashion industry veteran and CTO, Amit Aggarwal, a tech industry veteran. Over the past several years, THE YES scaled to provide a personalized daily shopping feed built for each user that learns their style as they shop with hundreds of merchants, including global brands and discovery brands across the fashion spectrum.
Upon the closing of the transaction, Julie will report to Pinterest’s Co-Founder and CEO, Ben Silbermann, and will lead shopping vision and strategy across Pinterest, creating a new and strategic organization dedicated to Pinterest’s taste-driven shopping efforts that will help steer the evolution of features for Pinners and merchants on Pinterest. Pinterest is excited to welcome THE YES team to join Pinterest following the closing of the transaction.
“THE YES team are experts in building an end-to-end shopping experience. They share our vision of making it simple to find the right products that are personalized for you based on your taste and style. We’re very excited about THE YES’s talented team and technology as we build dedicated shopping experiences on Pinterest.” - Ben Silbermann, Co-Founder and CEO of Pinterest
“I’ve spent my career at the intersection of shopping, fashion and technology and have seen first-hand the valuable impact of building technology that enables brands to join a platform with ease while enabling customers to share their preferences. Joining forces with Pinterest to broaden our reach utilizing such an inspirational platform is an exciting and ideal next step for our team and technology.” - Julie Bornstein, Founder and CEO of THE YES
Pinterest is a shopping platform that brings together the unique commercial intent of its audience and the ability to visually explore products as you would in a magazine or catalog. In a world of impulse buying, Pinterest is designed to enable inspired shopping. It’s like a catalog, personalized to your unique tastes.
In the months following the closing of the transaction, Pinterest plans to sunset the THE YES app and website to allow the merged teams to focus on technology integration and evolving our shopping vision.
Subject to the satisfaction customary closing conditions, the transaction is expected to close in the second quarter of 2022.
This communication contains forward-looking statements within the meaning of applicable securities laws. Forward-looking statements and information usually relate to future events and anticipated revenues, earnings, cash flows or other aspects of our operations or operating results. Forward-looking statements are often identified by the words “will,” “can,” “expect,” and similar expressions, including the negative thereof. The absence of these words, however, does not mean that the statements are not forward-looking.
Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause our actual results to differ materially from the expectations expressed in the forward-looking statements. These factors include, without limitation, the following: failure to obtain required regulatory approvals in a timely manner or otherwise; failure to satisfy any closing conditions to the proposed acquisition of THE YES; risks associated with tax liabilities or changes in U.S. federal tax laws or interpretations to which the proposed transaction with THE YES or the parties thereto are subject; risks related to the operation of THE YES’s business prior to the closing of the acquisition; failure to successfully integrate any new business; failure to realize the anticipated benefits of any combined operations; unanticipated costs of acquiring or integrating THE YES; potential impact of announcement or consummation of the proposed acquisition on relationships with third parties, including employees, customers, partners and competitors; inability to retain key personnel; changes in legislation or government regulations affecting the acquisition or the parties; and economic, social or political conditions that could adversely affect the proposed acquisition or the parties. More details about these and other risks that may impact our business are included in our Form 10-K for fiscal 2021 and in our other SEC filings. You can locate these reports through our website at http://investor.pinterestinc.com/. We caution you not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. We do not undertake any duty to update any forward-looking statement or other information in this communication, except to the extent required by law.
***Financial terms of the transaction were not disclosed***