Case Study: Shoes.com — Equity Acquisition Joint Venture — 12MM

Situation

Shoes.com was insolvent and a receiver was appointed to liquidate the assets. For all intents and purposes, the company was shut down.

Tiger’s Role

Tiger teamed up with an IP partner, and a Tiger portfolio company to purchase the inventory assets at auction, outbidding DSW and other traditional shoe liquidation companies.   Our strategy was liquidating the inventory through third party eCommerce platforms such as Jet.com and Amazon, which maximized the value and controlled costs.

Resolution

Tiger moved the inventory to a third party warehouse and fulfilled eCommerce orders for 18 months. The majority of the investment was recovered in the first 90 days, after close.