Regional mall landlord Simon Property Group Inc. and Rue Gilt Groupe LP are teaming up to create a new multi-platform venture focused on digital value shopping.
The venture will combine RGG's Rue La La Inc. and Gilt Groupe Inc. platforms and Simon's online outlet marketplace, Shop Premium Outlets. Simon will contribute about $280 million to the new venture including the value of Shop Premium Outlets.
As part of the deal, the Shop Premium Outlets team will transition to RGG, which will be responsible for its day-to-day operations. Each of the platforms will maintain its identity and continue to serve distinct customer segments.
The deal's closing is subject to customary conditions, including certain regulatory approvals.
