• April 25, 2008

Retail Convergence Inc., a newly formed corporation comprised of a portfolio of ecommerce companies, has closed a $25 million Series A round of financing.

Lead investors include New England Development, Breakaway Ventures, Mugar Enterprises and General Catalyst Partners. The first initiative for the new organization included the acquisition of SmartBargains.com, the leading online, off-price retailer.

In addition, Retail Convergence is launching Ruelala.com, the invitation-only, private sale ecommerce site driven exclusively by user-generated membership. The private sale model provides consumers with exclusive access to scheduled sales of upscale brands. Each private sale is brand-specific, lasts 2 days and features current season merchandise. Membership is completely user-generated--the only way an individual can join RueLaLa.com is through an invitation from an existing member.

--Tanya Irwin