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Bidz.com acquires the assets of Whitehall Jewelers
As the winning bidder, Bidz.com acquires all related intellectual property for Whitehall Jewelers and its sister brands. Bidz.com also acquires Whitehall’s customer information file, which includes 800,000 names.
Topics: business finance
Online jeweler and auctioneer Bidz.com Inc. has acquired the intellectual property assets of bankrupt Whitehall Jewelers Holdings Inc. for an undisclosed fee.
Bidz.com, No. 71 in the Internet Retailer Top 500 Guide, was the winning bidder in an auction held Sept. 10 in the offices of Proskauer Rose LLP, a New York mergers and acquisitions law firm.
As the winning bidder, Bidz.com acquires the intellectual property for the Whitehall Jewelers, Lundstrom Jewelers, Marks Bros, Jewelers and White Star Private Label brand names. Bidz also acquires Whitehall’s customer information file, which includes 800,000 names, addresses and purchasing histories.
Chicago-based Whitehall filed for Chapter 11 bankruptcy protection in June 2008. “We are extremely pleased to have acquired all of the intellectual property for such a well-known brand as Whitehall Jewelers with a 100-year-old family history and goodwill,” says Bidz.com CEO David Zinberg. “This important acquisition consisting of its IP assets and over 800,000 customers will create additional growth opportunities for Bidz and better position us for the future.”
The acquisition of auctioned assets is the second for Bidz.com this year. In April, Bidz.com acquired the inventory and intellectual property, trademarks and tools held by The Colibri Group in a bankruptcy auction. Colibri is a manufacturer and retailer of jewelry and accessories and brands such as Krementz, Van Dell, Shiman, Dolan & Bullock, Taylor Avedon, Angelite, Skal, Darling Diamonds, and Fingerprint Locket. The bid was undisclosed.
In the second quarter ended June 30, Bidz.com’s revenue declined 51.1% to $26.9 million from $55 million in the second quarter of 2008. Net income decreased year over year 82.8% to $620,000 from $3.6 million.