Bonobos is going to Walmart for $310 million
After two months of speculation, Walmart has confirmed it’s buying Bonobos for $310 million.
The retail mega-giant will buy the men’s e-commerce site to join its growing roster of online brands. Walmart has been on an acquisition spree this year, led by Jet.com founder and now Walmart U.S. e-commerce CEO Marc Lore.
Walmart bought Jet.com almost a year ago to up its competition against Amazon. Since then, Walmart has introduced more competitive free shipping, added discounts for in-store pickup that Amazon can’t really offer, bought the trendy women’s online retailer ModCloth, and now acquired Bonobos.
Were seeing momentum in the business as we expand our value proposition with customers and its incredible to see how fast were moving, Lore said in a statement.
Bonobos founder and CEO Andy Dunn will report to Lore, and Bonobos could still stay a separate brand from Walmartnot necessarily sold in Walmart stores or even on Walmart.com. Walmart said in its announcement that part of its e-commerce strategy is adding “best-in-class” vertical consumer brands to continue to sell on those independent sites and eventually on the still-active Jet.com.
We began Bonobos ten years ago to give men a completely different product and shopping experience: better fitting, higher quality clothing, in new and imaginative ways. That will always remain our mission, Dunn said in a statement. We are excited about applying all that we have learned to help shepherd in the next era of retail.
Walmart’s major acquisition news might have been outdone by Amazon today. But its fight against Amazon is still kicking into high gear.