Suning.com Formally Acquires Redbaby For USD66 MillionOctober 1, 2012 | Print | Comments | Category: Business, Internet
Suning.com, the e-commerce platform of Chinese electronics retailer Suning, announced that it has invested USD66 million to acquire the Chinese e-commerce website for baby and maternity products Redbaby.com.cn.
Sun Weimin, vice chairman of Suning, told local media that since the founding of Suning.com, it has been paying close attention to the changes of the entire industry and seeking merger and acquisition opportunities. Sun also revealed that Redbaby will be operated as an independent company and brand after the acquisition.
Meanwhile, Suning.com's baby and maternal product sector will be merged with Redbaby, who will be responsible for the related marketing and operation. To save costs, Redbaby's logistics costs will be included into Suning's logistics system. In addition, Suning will further expand Redbaby's warehousing area and staff.
According to Sun, Suning.com currently has about 4,000 employees and it is still young and expected to accelerate its maturity via acquisitions.
Founded in 2006, Redbaby is one of the largest baby and maternity e-commerce websites in China. Xu Peixin, chief executive officer of Redbaby once revealed that the company's sales in 2009 were CNY2 billion; its sales in 2010 were CNY1.5 billion; and its sales in 2011 were CNY1.5 billion. Though the company has losses, it still holds the leading position in the Chinese baby and maternity B2C e-commerce industry.
Leave A Comment:
- ZTE Responds To Huawei's European Patent Lawsuit
- Taiwanese Display Maker Sues Nokia For Touch Screen Patent Infringement
- Copyright Problems: Xunlei's Gougou.com Terminates Chinese Search Service
- Chinese Government Steps In To Regulate Internet Retail Services
- Chinese Online Literature Search Service Opened By Cloudary, Qihoo 360