In its second-largest acquisition, Amazon buys the company for $970 million.
John Bax joins the daily deal company after it receives a big investment from Amazon.
Daily deal company LivingSocial has hired a former executive of Walmart.com as chief financial officer. John Bax held a similar job for the e-commerce operation of the world’s largest retailer.
LivingSocial, one of the main rivals to Groupon Inc., which also sells online discounts and coupons for local and some national retailers, last month received a boost from the world’s largest Internet retailer, Amazon.com. Amazon, No. 1 in the Internet Retailer Top 500 Guide, invested $175 million in LivingSocial while the e-commerce world waited for confirmation that Google would spend up to $6 billion for Groupon. That deal never materialized.
Most recently, Bax worked as chief financial officer for RecycleBank, a New York-based company that operates a merchant-funded rewards program; consumers can earn rewards points by recycling household goods. Before that, Bax was chief financial officer of Sentient, a private travel firm. His experience as Wal-Mart, No. 6 in the Internet Retailer Top 500 Guide, came prior to Sentient. Besides the e-commerce job, he also had worked as vice president of planning and analysis for Wal-Mart Stores.
"We're excited to bring John's fantastic track record and diverse background in all things financial to the team, as well as a solid reputation among the financial community and a deep understanding of LivingSocial's business," says Tim O'Shaughnessy, CEO and co-founder of LivingSocial. "We are confident he will contribute to our company's continued growth and stability."
In another indication of the sudden influx of cash to the leading social deal sites, Groupon last month hired its first chief financial officer, Jason Child, who had worked as vice president of finance for Amazon’s international business. Groupon, after turning down Google last month, raised $500 million in a private funding round that the company says could ultimately total $950 million.