Tuesday, June 21, 2011

CSN Stores adds $165M VC funding to bootstrapped strategy

By Galen Moore, Boston Business Journal

After bootstrapping their company to over $380 million in 2010 revenue, the founders of Boston-based e-tailer CSN Stores announced Tuesday they have raised their first venture capital, a $165 million round with Battery Ventures of Waltham,  and Spark Capital, HarbourVest Partners, and Great Hill Partners – all of Boston.

CSN said in a press release that it would use the financing to push a new brand, Wayfair, under which it aims to gather together its many disparate e-commerce sites – which include home furnishings-focused properties ranging from theheadboardstore.com to hometheaterseatingonline.com. CSN has been mulling the re-branding since at least April. The company is currently named after the initials of founders Steve Conine and Niraj Shah.

The company also plans to use the funds to acquire other Internet companies, “specializing in categories that would benefit CSN,” according to the press release.

Shah and Conine founded the company in 2002. The transition to the new brand will begin in July or August, the company said.

From Tuesday’s press release:

    On Our Ongoing Hiring Surge: CSN continues to be a hiring hotspot, with 800 people currently employed, and many positions on the horizon. Last year, we hired 250 people. So far this year, we’ve hired at least another 150. And we’re estimating that we’ll recruit as many as another 200 more throughout the remainder of 2011.