Birchbox investors get wiped out

Photo by Vivien Killilea/Getty Images

Viking Global Investors has agreed to acquire a majority stake in Birchbox, via a recap that will effectively wipe out the other venture capitalists that invested over $85 million (including at a valuation just south of $500 million).

Why it's a big deal: Birchbox was the original "stuff in a box" company, kicking off a niche industry that would attract both startups and legacy retailers.