The Right Start Inc. Sells Catalogue Business
The Right Start Inc., a Westlake Village-based seller of apparel and other products for infants, said it has completed the previously announced sale of its Children’s Wear Digest catalogue business.
The sale generated $2.5 million in cash, The Right Start said. The sale agreement includes provisions for the company to continue telemarketing operations for the catalogue.
According to company sources, the cash raised by the sale alleviates the need to seek outside financing for expansion of retail operations. The company has 12 retail stores in four states.
The Right Start also revised its financial results for the second quarter and six-month period that ended Nov. 23. The net loss for the quarter was narrowed to $1.44 million, the company said, and the loss for the six-month period was adjusted to $1.38 million.
The adjustments reflect some tax benefits from the sale of the catalogue.