Kmart Corp. today announced the completion of the acquisition of BlueLight.com, its e-commerce subsidiary. As of the close of business yesterday, a majority of BlueLight.com stockholders had approved the merger.
"With the future of retail evolving into an integrated `bricks and clicks` model, Kmart is very pleased that the BlueLight.com stockholders voted in favor of the merger," said Chuck Conaway, chairman and CEO of Kmart. "Strategically, this acquisition of BlueLight.com continues our focus on building a holistic approach in serving our customers in every aspect of their shopping experience. We will fully integrate and restructure BlueLight.com leveraging Kmart`s resources while still providing our customers with a variety of services online, including product extensions, store promotions and pharmacy refills."
Under the terms of the purchase agreement, Kmart will issue 6 million shares of Kmart common stock and pay approximately $15 million in cash. In conjunction with the purchase of BlueLight.com, Kmart will record a charge in the second quarter of approximately $120 million ($76 million after-tax) for the restructuring and integration plans of BlueLight.com.