The flash sale site will be integrated with Saks Off 5th discount locations.
The acquisition is intended to bolster Hudson’s all-channel model and grow its off-price business–Gilt will be integrated with Saks Off 5th brick-and-mortar locations.
The transaction is expected to add $500 million to Hudson’s consolidated FY 2016 sales. Hudson’s also will leverage Gilt’s technology and mobile business platform to grow its own digital business.
“With this transaction we are further accelerating both HBC’s all-channel offering and Gilt’s growth. We plan to continue to foster Gilt’s culture of innovation, which has helped create a strong brand with a loyal and devoted millennial following. Adding Gilt to our rapidly growing digital business is very exciting and we see tremendous potential to enhance our mobile and personalization strategies by leveraging Gilt’s advanced capabilities,” says Jerry Storch, chief executive officer, Hudson’s Bay.
“HBC and Saks OFF 5TH are the ideal home for Gilt and our members,” says Michelle Peluso, CEO, Gilt. “HBC understands our proposition and is committed to positioning our business for further success. Our members will find having a brick and mortar presence valuable and a positive addition to the Gilt experience. We are excited for our future and confident that we have the right team in place to continue to innovate the shopping experience and grow Gilt.”
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