Ritz Camera Centers, a photography specialty retailer and major investor in Irvine-based Ritz Interactive Inc., recently acquired bankrupt competitor Wolf Camera for $84.7 million.
Wolf Camera owns WolfCamera.com, an e-tailer of cameras and accessories, and several hundred specialty retail stores.
Wolfcamera.com will be folded into Ritz Interactive’s network of Web sites, which includes ritzcamera.com, boatersworld.com and ritzPIX.com
“We expect that WolfCamera.com will add approximately 20% to our revenue stream,” said Fred Lerner, president and chief executive officer of Ritz Interactive, formerly called phobo.com.
His company, which employs 40 people in Irvine, did not hire anyone from the 12-person staff at WolfCamera.com, Lerner said.
The acquisition is expected to enable Ritz Interactive to expand its product offerings and increase the level of customer service offered to online shoppers, according to Lerner.
The privately held company declined to disclose revenue figures, but Lerner said “sales are running more than 100% ahead of last year, primarily due to the interest in digital cameras and camcorders.”
Industry statistics indicate that 29% of all digital cameras are purchased online, he added.
Ritz Interactive has yet to turn a profit.
“We are running at breakeven and expect to reach profitability in Q4 of this calendar year,” Lerner said.
