E-retailer Wayfair raises $157 million
March 10, 2014 04:32 PM
Coming out of a record sales year, web-only furniture and home décor retailer Wayfair LLC has raised $157 million in a Series B funding round. That brings its total funding to date to $193 million. In 2012, it raised $36 million to expand flash sales at its upscale home goods brand Joss & Main.
Wayfair, No. 50 in the Internet Retailer Top 500 Guide, says the financing will help grow its online portfolio, which also includes modern furniture retailers DwellStudio and AllModern. The retailer declined to go into further detail about how it plans to use the funds.
T. Rowe Price Associates Inc. led the financing round, which also included contributions from private investor Julie M.B. Bradley, chief financial officer of online travel site TripAdvisor and a Wayfair board member.
“This investment further solidifies an already strong balance sheet for Wayfair,” says Michael Fleisher, chief financial officer at Wayfair. Last year, the retailer booked $1 billion in web sales, with net revenue of $915 million, a 55% increase compared with around $590 million in revenue in 2012.
“Wayfair is heading into 2014 with tremendous momentum and growth as more and more shoppers opt for one of our exceptional e-commerce shopping experiences,” says CEO Niraj Shah.
Investment analysts have raised the possibility that Wayfair could go public, given its growth and the successes of recent initial public offerings. Shah’s response has been that the retailer will consider an IPO “when it makes the most sense.”