WAL-MART Will Buy Male Fashion Website Bonobos

According to the world clothing shoes and hats net,

Under the leadership of Marc Lore, the chief executive of the electricity supplier business, WAL-MART began to launch a positive acquisition in the field of electronic commerce. Mark, Lore

WAL-MART is working with men as the world's largest retailer of physical stores, sources said on Friday.

Bonobos, a retail website, negotiated the acquisition of the 10 year old e-commerce website.

It is reported that the two sides have reached a consensus on the purchase price and are in the final stage of due diligence.

This will be acquired 7 months ago in WAL-MART.

After the start-up of Jet.com and the founder of Raul, the founder of Jet.com, the fourth acquisition paction of WAL-MART electric business.

Prior to this, WAL-MART has acquired female apparel retail website ModCloth, outdoor assembly retail website MooseJaw and shoe online retailer ShoeBuy.

In addition, when Jet.com was still independent, Raul also bought Hayneedle, an online home retailer.

Before buying Bonobos, the biggest M & a deal completed by WAL-MART at WAL-MART was only $70 million.

However, sources said that the price of Bonobos would go far beyond that range.

Bonobos's current revenue is between $100 million and $150 million a year, and its financial situation is much better than that of women's clothing retail website ModCloth.

The latter's takeover price is less than twice its revenue.

For online retail businesses like Bonobos, prices between 1 and 2 times revenue are not unusual.

According to the data provided by PitchBook, the value of the company was valued at $300 million when Bonobos raised $55 million in 2014.

Bonobos was founded in 2007 by chief executive Andy Dunn (Andy Dunn) and Blaine Brian (Spaly). At that time, sporty men were mainly sold online for men's trousers.

Since then, Bonobos has extended its business to formal shirts, suits and coats.

Besides selling goods on its own website, Bonobos also sells products through high-end department stores Nordstrom.

Nordstrom is also one of Bonobos's investors.

Bonobos shirts start at around $98, and suits start at a price of $550.

Over the past few years, Bonobos has opened more than 30 shop display rooms called "Guideshops", where customers can try clothes and place orders, and ordered clothing will be sent to their homes.

Bonobos has already raised over $125 million in funds from Vc firm Ventures, Lightspeed and Mousse Partners in several rounds of financing, and has considered further financing in the past few months.

However, because Bonobos has raised a lot of funds and has a limited scale, it is difficult for the company to raise funds for satisfactory valuation.

As the world's largest retailer, WAL-MART has been reorganizing its network team to better cope with Amazon's challenges by providing consumers with more product choices and lower prices.

Raul, a former start-up company Jet.com, was bought by WAL-MART at about $3 billion 300 million last September.

Raul said that WAL-MART has an advantage over the "pure electric company" because its huge retail network can attract consumers to buy products such as fresh products.

In January this year, Raul reorganized the management of WAL-MART's electricity supplier business, announcing the establishment of a new incubator and strategic cooperation department led by Seth Bell (Seth Beal).

WAL-MART has also set up an incubator for technology innovation, "shop No. 8", which will work with start-ups, venture capitalists and academic institutions to promote innovation in robotics, virtual reality, augmented reality, machine learning, artificial intelligence and other fields.

"Our electricity supplier business is lagging behind in the market, and we need to catch up with it," Raul said in March's Recode Code Commerce campaign.

The acquisition of Bonobos will increase the choice of goods on the Jet.com website, which provides some unsold brand products such as Amazon.

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