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Estyle.com tries on $25 million investment for size

The online clothing and children's goods retailer secures $25 million in funding despite Wall Street's shrinking confidence in e-commerce companies.

    In the face of Wall Street's shrinking confidence in e-commerce companies, Estyle.com on Monday said it has secured $25 million in funding.

    The online retailer, which sells clothing and other items geared toward families, closed its fourth round of financing with backing from a new investor, Primedia.

    Primedia, which publishes Seventeen, New York and American Baby magazines, joins the company's other investors including Paul Allen's Vulcan Ventures, Maveron, Goldman Sachs and Global Retail Partners, Estyle said in a statement.

    Primedia, based in New York, contributed $7 million to the latest investment pool, with the rest coming from the company's other investors.

    "Estyle is a very promising e-commerce company and represents an important strategic partnership for Primedia's American Baby Group," Primedia CEO Tom Rogers said in a statement.

    Los Angeles-based Estyle has raised $85 million to date in funding, the company said.

    The backing for Estyle comes a week after MotherNature.com said it would shutter its health site and online pet store Pets.com said it would close down its retail operations and lay off hundreds of employees.

    But Monday's announcement could indicate that there is still financing available for e-commerce companies that have diverse marketing strategies and feasible growth plans.