British online fashion retailer Boohoo.com is bidding $20 million for the brand and customer list of bankrupt U.S. clothing brand Nasty Gal. Despite strong early growth and popularity, venture capital-backed Nasty Gal has struggled in recent years. It had revenues of $77.1 million in the year to February 1, according to Boohoo, but made a loss of $21 million in the same financial year. It filed for bankruptcy protection in early November.
So, what - exactly - is Boohoo? The online retailer, which is based in Manchester, England, made headlines recently - aside from the Nasty Gal deal - as its shares have soared about 260 percent in 2016 as fashion-conscious youngsters snapped up garments such as bomber jackets and shoulder dresses for $18 apiece. The stock’s rise is the biggest of any western European consumer-related company with a market capitalization of more than $500 million, in a year when shares of many retailers are underperforming the broader market.