In order to focus completely on its ecommerce business, Speed Commerce has completed the sale of its legacy distribution business segment to WYNIT Distribution, LLC, a wholesale distributor of products from leading brands, Speed Commerce said in a press release.
Speed Commerce used the proceeds from the sale of its distribution business to pay down its line of credit and support the continued growth of its ecommerce business.
“We can now fully allocate our resources toward our higher growth and higher margin ecommerce business,” said Richard Willis, president and CEO of Speed Commerce in a prepared statement. “In fact, the divestiture allows us to significantly improve our margins, reduce overhead and the seasonal fluctuations of working capital, and brings together our entire organization around a common vision and purpose.”