The luxury crackdown in China has dented the aspirations of American retailer Neiman Marcus, which is selling its stake in Glamour Sales Holdings.

Neiman Marcus, in March 2012, invested $28 million to take 44 per cent stake in Glamour Sales Holdings, a privately held e-commerce company which operates flash sales websites in China and Japan.

Glamour Sales plans to expand and needs additional funds, but Neiman Marcus is said to be disinterested in becoming a majority investor.

Hong Kong jeweller Chow Tai Fook and asset management firm Investec Bank are reportedly backing the e-commerce company by investing $65 million in it.