Clearlake, CrunchFund, and Mr. Sherman Bring Deep Industry
Expertise in eCommerce
SANTA MONICA, Calif. & SAN FRANCISCO & NEW YORK--(BUSINESS WIRE)--
Bluefly, Inc. today announced that CrunchFund has joined Clearlake
Capital Group in its investment in the Company. Terms of CrunchFund’s
investment were not disclosed. Separately, Bluefly announced that it has
tapped industry veteran Jeffrey Sherman as senior advisor to its Board
of Directors. Bluefly, a leading eCommerce retailer of designer,
contemporary and private label apparel and accessories, was acquired by
affiliates of Clearlake Capital Group in May 2013.
Mr. Sherman brings deep expertise in retail and eCommerce, serving
currently as President of The Echo Design Group and having previously
served as President and CEO of Hudson’s Bay Trading Company, President
and COO of Polo Ralph Lauren’s Retail Group, CEO of Limited Stores,
President and CEO of Federated Direct, and President and COO of
Bloomingdale’s. Mr. Sherman stated, “I share in Clearlake’s firm belief
that eCommerce will continue to capture a greater share of consumers’
wallets as online offerings become increasingly sophisticated. Bluefly
has always been an innovator in online retail, and I share in
Clearlake’s vision of building it into the leading online fashion
retailer by providing a unique assortment of high-end fashion at great
prices to its loyal customer base.”
CrunchFund Co-founder Pat Gallagher, who has been appointed to Bluefly’s
Board, said, “We join in our partners’ enthusiasm in backing the team to
build a differentiated leader in the fashion eCommerce sector. Bluefly’s
strong foundation and history, coupled with an attractive industry
backdrop driven by evolving consumer buying habits and well-curated,
convenient online offerings, make this a very exciting time for the
This represents Clearlake’s third platform in the eCommerce space
following investments in Buy.com and Swiss Watch International.
Clearlake co-founder and Bluefly Co-Chairman Behdad Eghbali said, “We
are pleased to welcome Pat Gallagher and CrunchFund as an investor in
Bluefly and we are excited to partner with Jeff Sherman as we work to
build Bluefly into the destination for in-season, high-end apparel and
accessories online. We believe the CrunchFund team and Mr. Sherman bring
significant eCommerce expertise and impressive networks to the table,
and we look forward to the partnership.”
Clearlake announced in August that Clearlake Operating Advisor Neel
Grover joined Bluefly as CEO and Co-Chairman. Mr. Grover is former CEO
and President of Buy.com and former Director of Rakuten USA. He is
joined by Clearlake Operating Advisor Greg Giraudi, former COO and
General Counsel of Buy.com, as President and Director.
About Bluefly, Inc.
Bluefly is a leading online retailer of designer, contemporary, and
private label apparel and accessories that provides its customers with
unique access to in-season products at great prices. The Company is
uniquely positioned as the only eCommerce company that sells its
merchandise through two off-price eCommerce channels: Bluefly.com
(Traditional eCommerce Channel) and Belle & Clive (Flash-Sale Site). The
combination of the traditional eCommerce channel and the flash-sale site
is a compelling business model that addresses the shopping preferences
of Bluefly’s customers. For more information, please visit www.bluefly.com.
About Clearlake Capital Group
Clearlake Capital Group, L.P. is a private investment firm focused on
special situations and private equity investments such as corporate
divestitures, recapitalizations, buyouts, reorganizations, and other
equity investments. Clearlake seeks to partner with world-class
management teams by providing patient, long-term capital and operational
expertise to invest in dynamic businesses. Clearlake currently manages
approximately $1.4 billion of equity capital, and Clearlake’s founding
principals have led over 70 investments totaling more than $3 billion of
capital in sectors including business services, communication, consumer
products/retail, defense/public safety, energy/power, healthcare,
industrials, media, and technology. For more information, please visit www.clearlakecapital.com.
CrunchFund is an early stage venture capital firm founded by Michael
Arrington and Patrick Gallagher. The fund invests in and works with
information technology companies at any stage, but is primarily focused
on seed and early stage investments. The firm raised its inaugural fund
in September of 2011 and has invested in Uber, Square, Airbnb, Redfin
and many others.
Owen Blicksilver Public Relations, Inc.
Source: Clearlake Capital Group, L.P.