The e-commerce subsidiary of Walmart, Jet.com, closed a deal to buy popular online retailer, ModCloth, on Friday. While the companies declined to confirm the price of the deal, some reported it to fall between $50 and $75 million.
As Mashable points out, the news has come as a surprise to many as ModCloth is known for its “alternative, indie vibe and size-inclusive philosophy” while Walmart, let’s just say, is not. Although the indie retailer is most popular with 18- to 35-year-old women, a group Walmart is likely looking to go after.
“Today marks the beginning of the next stage of ModCloth’s journey. I am excited to announce that we are joining the Jet.com and Walmart family,” ModCloth founder Susan Gregg Koger wrote in a blog post. “This will give us the necessary resources and support that we need as a business to grow. Growth allows us to reach more women, grow our community, and amplify our message. Our mission to help our customers feel like the best version of themselves continues. And our commitment to inclusivity continues. Our amazing team continues. And we can open more stores — in your hometown! I hope you will continue to join us as well on this next phase of our journey together.”
The vintage-inspired retailer will retain its own website, as well as its store in Austin, Texas while the smaller designers who sell their clothing on ModCloth.com will now also be able to sell their products on Jet.com. ModCloth staff will “bring their significant experience and unique talents to our U.S. e-commerce efforts,” Walmart said in an email on Friday.