Retail Ecommerce Ventures (REV), an investment firm that buys harassed brands, pays $ 31 million for the name of the real estate trader and intellectual property. The goal is to restart Pier 1 online and create “a robust e-commerce future for the brand,” the firm said Friday.
Pier 1 filed for bankruptcy in February after nearly 60 years in the business. He evaluated his survival options, but found none, and eventually won court approval in May to permanently close his 500 stores. Clearance sales began in May.
REV is co-owned by social media influencer Tai Lopez and Alex Mehr, co-founder of online dating website Zoosk.
The company invests in so-called zombie brands that it believes can be revived online. REV bought the Dressbarn brand last year from the recently bankrupt Ascena Retail Group and says it has become a successful online business. She also owns the Linens̵
7; n Things brand, Franklin Mint and is the leading bidder for the sale of bankrupt Modell sporting goods.
“In just eight months, we were able to turn the whole Dressbarn business around,” Mehr said in a statement. “The most important thing we did was to know the consumers where they were already: online. After seeing their almost immediate success, we knew that this model would work very well with Pier 1 as well, whose fans have bought products for home for almost 60 years. “
Pier 1 joins a crowded online space full of ingrained competitors. Buyers have become more and more Amazon (AMZN), Wayfair (W), Etsy (ETSY) and other e-commerce companies. Large box chains like Goal (TGT) i Walmart (WMT) they have also strengthened the supply of domestic goods in recent years.
And then there is Bathroom bed and beyond (BBBY) i Tuesday morning (MARCHES), rival home goods traders who have also struggled in recent years with many of the same forces pressing Pier 1. Bed Bath & Beyond announced earlier this month that it will close about 200 stores over the next two years , and on Tuesday morning filed for bankruptcy in May and is closing a third of its stores.