Private equity firm Apollo Global Management will take Rackspace private in the all-cash deal.
Year-over-year e-commerce sales grew 27%.
Being a niche web retailer continues to pay dividends for Dreams Inc., especially this past holiday season.
In December, Dreams, which owns Fans Edge Inc. and operates FansEdge.com, No. 181 in the Internet Retailer Top 500 Guide, posted e-commerce sales of $37.4 million, an increase of about 27.2% from $29.4 million in December 2010. FansEdge.com sells caps, jerseys, T-shirts and other gear carrying the logos of sports teams.
“We have completed another record holiday season defined by three straight months of solid double-digit e-commerce revenue growth,” says CEO Ross Tannenbaum. “These results are attributable to continued gains in market share and our fully-integrated e-commerce platform, which enables our partners to capture a much larger revenue stream than ever before.”
In addition to operating FansEdge.com, Dreams also operates web stores for a number of well-known sports teams and organizations such as the Chicago Bulls, Majestic Athletic, Comcast Sports, NBC Sports and the Philadelphia Eagles.
Dreams closed out the year with strong third quarter sales and a new client. On Dec. 19 Dreams announced a deal to operate the e-commerce site for Indiana University. The site carries licensed merchandise such as apparel, headwear, gifts, novelties, home décor and collectibles.