Members-only shopping site RueLaLa, a former subsidiary of GSI Commerce (before the eBay acquisition) just cut roughly 60 positions from its workforce of 550 employees, but an SEC filingpublished yesterday afternoon reveals that the flash sales company also recently completed a $22 million financing round.RueLaLa was previously part of Retail Convergence, Inc, a company that was acquired by GSI Commerce back in 2009. The Gilt Groupe rival, which is still 30 percent owned by eBay, is based in Boston, Massachusetts.
When GSI Commerce was acquired by eBay in March of 2011, eBay said it would loan the new holding company that would be spun off for Rue La La $467 million in total, while GSI founder and CEO Michael Rubin was to invest an additional $31 million in cash.
We’ll update with more details about the equity funding round when we learn more.
Source:http://techcrunch.com/2012/01/20/after-laying-off-60-people-ruelala-raises-22-million/
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