Reporting €35 Million in losses in 2013, Dixons to sell Pixmania one year after founders cash out

Sep 5, 2013
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UK Retail store Dixons has received an offer to from German group Mutares to purchase the failing Pixmania, with Dixons providing an extra €60 Million in support to the company, the BBC has reported. Dixons originally purchased a 77% stake in Pixmana in 2006 for €266 Million, having purchased the remain 22% last August from founders Steve & Jean-Emile Rosenblum for €10 Million (+ €5 Million in debt).

The website, which originally focused on selling photography but has since expanded to cover most consumer electronics, selling them in 27 countries across Europe, was profitable up until 2010, began reporting losses of £19.8m & £19.8m in the last two years. This may be in-part due to the company’s decision to open a series of retail-stores after the Dixons acquisition, most of which have since shut down, succeeded by a series of layoffs in the company.

The France-based Pixmania currently employees 1200 staff worldwide.

h/t to JournalDuNet[fr] for picking up the story.