An advertising watchdog’s report found dozens of claims that it says were false and deceptive. Wal-Mart blames suppliers.
A provider of e-commerce technology to 20 of the top 1,000 e-retailers in North America, Demandware expects to raise up to $80 million in an initial public offering of stock to support business expansion.
Demandware plans to go public
Demandware Inc., whose Internet-hosted e-commerce software drives the web sites of 20 of the top 1,000 web retailers in North America, expects to raise up to $80 million in a planned public offering of stock.
With 101 clients—the largest being German cataloger and online retailer Neckermann Gruppe, which had 2011 web sales estimated at $1.03 billion in the Internet Retailer Top 400 Europe and accounts for 16% of Demandware's revenue—the company says it plans to use its stock sale proceeds to expand European operations, build its business in Asia-Pacific, and develop a sales team to target small and midsized retailers and brands.
In business since 2004, Demandware posted a net loss of $1.4 million on 2011 revenue of $56.5 million, compared with net income of $300,000 on $36.7 million in revenue in 2010, its only profitable year to date.