DealsDirect has bought online-only retailer Extrastock.com.au, a well-established Australian site specialising in the sale of surplus inventory for major consumer electronic, tool and appliance brands.
“This is an especially exciting deal for me” said Paul Greenberg, executive chairman of the DealsDirect Group. “Extrastock and its founder, Simon Arnold, were vigorous competitors of ours in our earlier days in the online space”.
Extrastock and Auctionbrokers (an early iteration of DealsDirect) were eBay Australia’s first trading assistants, and in early 2002 the two were amongst the largest eBay sellers in the world by dollar value.
Whilst the purchase price was not disclosed, Greenberg said the deal made sense for both parties.
“Simon wanted to take Extrastock to the next level, and believes this is best achieved through a strong partnership with DealsDirect, Australia’s foremost diversified ecommerce group. Similarly, we recognised the brand equity that Extrastock has built over the years, and it’s very strong alliances with key brands in Australia” said Greenberg.
The Extrastock acquisition comes off the back of a busy time for the business, with the acquisition of Melbourne based, Shoppers Advantage, completed in late 2011 and the launch of BedBuys.com.au in January 2012.
Said Greenberg: “We are delighted with our new businesses and the contribution they are making to the DealsDirect Group, its suppliers and customers, and will continue to look at a range of other exciting opportunities to grow the business during 2012. We are talking to a number of other parties.”
Simon Arnold will join the DealsDirect Group with responsibility for building the Extrastock business further, bringing more tier one brands on board, and expanding the group’s eBay and marketplace presence.
“I am excited to see what value I can add not only to Extrastock within the DealsDirect family, but also to the DealsDirect Group. I was one of the early adopters of ecommerce in Australia and believe I have a lot to offer,” said Arnold.
