Walmart is planning to acquire 15-year-old online vintage-inspired apparel retailer Modcloth. The retailer joins the ongoing list of Walmart acquisitions, more recently outdoor online retailer Moosejaw.
[Related: Walmart Acquires Moosejaw for $51 Million]
Recode reported that Walmart is buying the company on behalf of Jet.com, which was acquired by Walmart in 2016. Jet.com aims to provide customers with a wider assortment of products to its online store.
[Related: Walmart Confirms Jet.com Acquisition]
Modcloth was founded by Susan Gregg Koger and Eric Koger in 2002 while both were studying at Carnegie Mellon. It started as a product of Susan Koger’s finds in thrifts stores and turned into a $150 million revenue business as of 2015.
The company raised nearly $80 million in venture capital and eventually relocated to San Francisco. It hired ex-Urban Outfitters executive Matt Kaness as CEO in 2015 and started to experiment with physical stores, including a permanent location in Austin.
However Modcloth has struggled to operate profitably and has been unsuccessful in recent attempts to raise additional funding.
[Related: Jet.com Acquires ShoeBuy for $70 Million]
Jet.com acquired online furniture seller Hayneedle for $90 million before it was acquired by Walmart for $3 billion. It also purchased online shoe retailer ShoeBuy.