Walmart has acquired the assets and operations of ModCloth, an online specialty retailer of women’s fashion and accessories.
Closed on 17 March, the deal is expected to increase its e-commerce presence.
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ModCloth provides designer apparel, shoes, handbags and accessories via its online channel and a store in Austin, Texas, which offers one-on-one styling appointments.
Established in 2002 at Pittsburgh, ModCloth has been headquartered in San Francisco since 2009.
The brand offers numerous clothing and accessory items from labels of independent designers, national brands and ModCloth-designed private label apparel.
Following this acquisition, the ModCloth team will continue to function at the existing location and serve as a complementary brand to Walmart’s other e-commerce sites.
Walmart expects that this acquisition will bring substantial expertise to strengthen its e-commerce efforts.
ModCloth’s CEO Matthew Kaness and more than 300 employees will join Walmart’s e-commerce retail unit..
They will continue to work from their offices located at San Francisco, Los Angeles and Pittsburgh.
Walmart also expects that the designers who sell their products on ModCloth will get the opportunity to serve more customers through Jet.com and other e-commerce sites to increase their customer base.
Image: A Walmart store. Photo: courtesy of Mike Kalasnik via Flickr.
