Short Take: CUC invests in online grocer

Powerhouse direct marketer CUC International has paid $5 million for a 25 percent stake in NetGrocer, a nationwide online grocery and household goods service. CUC also gained the right to buy the entire company at a later date. As a result of the deal, NetGrocer will create a customized version of its service for netMarket, CUC's membership-based consumer Web site.

Nov. 19, 1997 10:30 a.m. PT

Powerhouse direct marketer has paid $5 million for a 25 percent stake in NetGrocer, a nationwide online grocery and household goods service. CUC also gained the right to buy the entire company at a later date. As a result of the deal, NetGrocer will create a customized version of its service for netMarket, CUC's membership-based consumer Web site.