American’s third-largest retailer, Kmart, reportedly is negotiating a venture
capital deal in the $50 million range to help the company create a new
Internet strategy.
Sources familiar with the deal were quoted by Business Week as saying that financial
backing for a new and improved Kmart.com will come from venture-capital firm
Softbank Technology Ventures.
The plan is for the new site to be up early next year, and boost online and
in-store sales.
Kmart’s enterprise would be based in Silicon Valley and be run largely by
outside executives, Business Week said.