USA: Kmart's Online Unit Gets $80m In Second Round
Bluelight.com, Kmart's online unit, has scored $80m in financing - enough to fund its operations into next year and to consider acquisitions, the Industry Standard reported yesterday. Bucking a trend of retrenchment among online retailers, Bluelight.com, the online arm of Kmart, announced yesterday that it has raised an additional $80m from Kmart, Softbank Venture Capital and Softbank Capital Partners. The investment, which comes on top of $62.5m that Bluelight raised in 1999, will enable the fledgling e-commerce company to fund its operations into next year and will put it in a position to consider acquisitions to expand its offerings. "The marketplace is ripe for the picking if we want to expand on our product offerings or services available on the site," says David Karraker, a spokesman for San Francisco-based Bluelight. In a further indication that Bluelight is interested in acquiring distressed dotcom retailers or e-commerce technology companies, the company appointed Gilbert Harrison to its board of directors. Harrison is the chairman of Financo, a boutique investment firm specializing in retail-sector mergers and acquisitions. Kmart will invest $55m in Bluelight.com, while Softbank units Softbank Venture Capital and Softbank Capital Partners plan to invest $25m. In addition to Kmart's online retail operation, Bluelight runs a free Internet service that has attracted more than 3 million users since its launch in December.
Get full access to all content, just $1 for 30 days
A Message From The Editor
just-style gives you the widest apparel and textile market coverage.
Paid just-style members have unlimited access to all our exclusive content - including 16 years of archives.
It’s our best ever membership offer – just for you.
Leonie Barrie, editor of just-style
- Fashion fit for the future – strategies for speed
- Digitisation to drive new apparel-making models
- Will new Vietnam wage hinder competitiveness?
- Under Armour Lighthouse will disrupt production
- How TAL Apparel is staying ahead of the game
- Child refugees found in Turkey apparel factories
- Chinese manufacturer invests $20m in US facility
- Reebok Liquid Factory reinvents shoe production
- Gap to shutter all UK Banana Republic stores
- M&S "unappealing" clothing a barrier to growth
- Africa-Med strategic sourcing review – comparing East Africa, North Africa and Turkey
- REPORT BUNDLE: Africa-Med, Southeast Asia and Central America strategic sourcing pack
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Apparel (GLOBAL) - Industry Report
- Global Sports and Fitness Wear Market 2016-2020