Internet retailer of designer fashions at outlet store prices, Bluefly Inc, on Tuesday announced it has received a $4 million financing commitment from Soros Private Equity Partners.

In a statement, Bluefly said it now believes it now has sufficient resources to fund its operations through the end of 2002.

Soros has already invested around $40m in Bluefly in exchange for an equity stake aggregating about 78 per cent of Bluefly on an as converted basis

"Having the Soros organisation behind us certainly has been asset as we work to establish Bluefly as the store of first resort for top designer merchandise, savings, service and convenience," said Bluefly CEO Ken Seiff.

"Through our continued improvement in sales and margin as well as through our increased efficiency and narrowing losses, I believe we have demonstrated the strength of our business model as well as the compelling value proposition we offer to consumers and suppliers."

Last month, Bluefly posted a 50 per cent jump in February net sales to $2.4m from $1.6m in the year-ago period.