Online streetwear retailer Karmaloop has been sold, but not to Kanye West and Damon Dash. The two impresarios lost the company to a group of senior lenders, Comvest Capital of West Palm Beach, Florida, and Chicago-based CapX Partners, who were reported by The Boston Globe as being "the only group to submit an offer to buy Karmaloop in a bankruptcy auction process."

The new owners, who won the clothing company for $13 million, have already announced plans to replace founder Greg Selkoe, although it has been confirmed he should remain linked to Karmaloop as an advisor. Selkoe also expressed his excitement about "the new capital coming into the business as well as my new role."

Karmaloop should continue to operate in both Europe and the United States, and keep its Boston headquarters.