Emerge Commerce Explained

EMERGE Commerce Ltd.
Type:Public
Former Name:Transformation Capital
Industry:E-commerce
Founded:2015
Location:Toronto, Ontario
Num Employees:115
Founder:Ghassan Halazon
Brands:trulocal.ca, wholesalepet.com, UnderPar.com, BattlBox.com, WagJag.com, justgolfstuff.ca, Carnivoreclub.co, Berightback.ca
Areas Served:Canada, United States

EMERGE Commerce Ltd. (formerly Transformational Capital) is a North American acquirer and operator of niche e-commerce brands with 2M members founded by Ghassan Halazon which operates eight brands.[1] The Company operates various marketplaces and subscription services across wide-ranging categories such as pets products, meat & groceries, golf, and other experiences. The Company is headquartered in Toronto, Canada.

Brands

WholesalePet.com

On November 16, 2021, EMERGE Commerce Ltd. acquired WholesalePet.com, a U.S. based B2B pet -marketplace matching 8,000 retailers and 400 vendors.

BattlBox Group

On October 6, 2021, EMERGE Commerce Ltd. acquired BattlBox Group, a U.S. based subscription-based ecommerce portfolio that includes BattlBox.com, an outdoor gear subscription box, and CarnivoreClub.co, an artisanal meat subscription box.

truLOCAL.ca

A locally-sourced meat subscription service based in Kitchener, Ont., has been acquired by Canadian e-commerce company Emerge Commerce for approximately $16.8 million. TruLOCAL allows customers to order regular boxes of products – such as grass-fed beef, wild-caught salmon, and chicken raised without antibiotics – from Canadian suppliers. The company generated revenue of $19.8 million in the 12 months ending Dec. 31, 2020, representing year-over-year growth of 130 per cent.[2]

UnderPar.com and JustGolfStuff.ca

In November 2019, EMERGE Commerce Ltd. acquired UnderPar (UnderPar.com and JustGolfStuff.ca) for $12 million. It is based in Toronto with an office in San Diego.[3]

WagJag

See main article: WagJag. WagJag (Wagjag.com) is a deal-of-the-day site which operates in Canada and is the largest family offers player in Ontario.[4] Prior to being acquired by Emerge Commerce in November 2017, WagJag was owned by Metroland Media Group, a subsidiary of Torstar Corporation, the parent Company of the Toronto Star.[5]

BeRightBack.ca

BeRightBack.ca is dedicated nearby escapes and staycations portal, offering limited-time offers on hotels next door. The site was launched in 2020, as a sister site to WagJag.com

Buytopia.ca

Buytopia is a deal-of-the-day site founded by Michele Romanow.[6] Buytopia's team previously sold their grocery cashback app to Groupon in 2014.

Shop.ca

See main article: Shop.ca. Shop.ca was initially a Canadian e-commerce site launched in June 2011. The company had raised CA$72M in venture capital funding; however, was spending more to acquire a customer that the average customer spent.[7] As a result, the company entered legal restructuring in July 2016 due to a lack of funds to continue operating. EMERGE acquired Shop.ca's assets via legal restructuring and re-launched Shop.ca as a Content & Coupons marketing platform [8]

Notes and References

  1. News: Transformational Capital Sees Opportunity to Turn Around Distressed Ecommerce Brands. Serebrin. Jacob. 13 December 2016. Techvibes. 24 December 2017.
  2. News: Kitchener-based meat subscription company sold for $16.8M CBC News. en-US. CBC. 2021-01-12.
  3. News: McClelland . Colin . Online shopping promotion company Emerge buys UnderPar golf promotor Financial Post . November 26, 2019 . . November 22, 2019 . en-CA.
  4. News: The best of the deal-a-day sites. Banerjee. Preet. 12 October 2010. The Globe and Mail. 24 December 2017.
  5. News: Groupon and other group buying sites such as WagJag and LivingSocial benefit from consumer "herd mentality": study. Hasham. Alyshah. 23 February 2012. Toronto Star. 24 December 2017.
  6. News: Minhas, Romanow to join CBC's Dragons Den. Toneguzzi. Mario. 25 March 2015. Calgary Herald. 24 December 2017.
  7. News: The inside story of Shop.ca’s failed e-commerce revolution. Braga. Matthew. 5 January 2017. Canadian Business. 24 December 2017.
  8. News: Shop.ca's Assets to be sold to Transformational Capital, Amount not enough to Fully Repay Creditors. Soltys. Douglas. 14 July 2016. BetaKit. 24 December 2017.