Farfetch falls amid report it's trying to secure last minute deal

Farfetch (NYSE:FTCH) fell 11% amid a report that it's working to secure a last-minute deal with a new group of investors.

The online luxury goods retailer is expected to make an announcement over the weekend or by Monday at the latest, according to a report from Miss Tweed, which cited sources familiar with the matter.

Farfetch (FTCH) employees received their December salary this week, two weeks in advance, as the company is trying to make sure staff are paid, according to the publication, which cited a source close to the company.

The announcement that Farfetch (FTCH) will make is expected to confirm that the company's deal with Richemont (OTCPK:CFRHF) has been terminated, according to the report.

Farfetch founder Jose Neves and a company spokesperson declined to comment to Miss Tweed. Farfetch (FTCH) didn't immediately respond to Seeking Alpha email request for comment.

The latest update comes after a Sky News report on Wednesday indicated that Farfetch (FTCH) was in talks to secure emergency funding from private equity firm Apollo Global (APO) as the online luxury goods site tries to shore up its finances.

Farfetch (FTCH) shares have plunged 67% since Nov. 28 after the company said it won't release its Q3 results and Richemont (OTCPK:CFRHF) said it has no plans to invest or loan money to the company after a report that Farfetch's founder was looking to take the company private.

Richemont (OTCPK:CFRHF) said at the time that it's "carefully" monitoring the situation, including reviewing its options in respect to arrangements with Farfetch (FTCH) in respect to YOOX Net-A-Porter.

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