Odimo to Cease Online OperationsDecember 05, 06
Odimo Incorporated intends to cease its online retailing operations. The company announced the sale of its rights to the domain name worldofwatches.com and related trademarks to ILS Holdings, LLC for $410,000.
Odimo, former owner of Diamond.com, announced the sale was made on December 1. The company still owns Ashford.com and is now obligated through December 31 to place a link on that website to online retailing websites owned and operated by Ice.com (diamond.com and ice.com) and to redirect ashford.com online traffic to these websites.
Under this arrangement, Odimo will not be the seller of any products sold through ashford.com nor will it generate any revenue. This results from an agreement entered into between Odimo and Ice in September 2006 whereby Ice released $400,000of the $500,000 being held in escrow.
Odimo said it intends to explore opportunities to place other third party links on its ashford.com website to websites owned and operated by third parties in exchange for fees based on sales commissions.
According to a release, other than Odimo’s limited operations of offering third parties the right to have links placed on ashford.com for the purpose of redirecting ashford.com online traffic, Odimo is a shell company. and is considering all available alternatives, including the acquisition of a new business and/or the redeployment of its remaining business assets.