Global retail company Simon has contributed close to 280 million dollars towards a new multi-platform venture dedicated to digital value shopping, created in partnership with Michael Rubin of Rue Gilt Group.
Rue Gilt Group operates premier online marketplaces that connect more than 25 million members with luxury designers at remarkably low pricing. That, combined with Simon's in-store retail leadership is creating a combined company poised to surpass 1 billion dollars in online sales, according to a press statement released by Simon.
Simon and Rubin will be equal partners in both the Rue Gilt Groupe and the former's new online outlet marketplace, Shop Premium Outlets, which debuted on October 2.
The partnership will leverage te combined databases of the two companies, reaching over 35 million shoppers. Rubin's two brands, Rue La La and Gilt, will complement Shop Premium Outlets as a value e-commerce portfolio.
"The online value shopping market is a massive opportunity ready for the next disruptor," Rubin said in a statement. "Partnering with industry leader Simon allows us to capitalize on this significant opportunity and accelerate RGG's growth to quickly surpass $1 billion in sales. This transaction brings together the leaders in online and physical commerce to deliver the excitement of outlet shopping online to consumers and innovative solutions to our brand partners."