The following is an excerpt from HIMANSHU GOENKA | August 8, 2016 | ibtimes.com |
After being subject to rumors for over a week, Walmart and Jet.com are expected to announce a $3 billion deal on Monday under which the brick-and-mortar retailing giant will buy the online retailer, according to various reports.
Confirmation of the deal was first reported Saturday by Bloomberg, which, citing unnamed sources, said the terms of the acquisition will require that the startup founder Marc Lore continues “to head the retailer’s online division for several years.”
Previously, Lore has worked for Amazon.com, the market leader in online retail sector and a rival that Walmart has been trying to close the gap with. Before spending over two years with Amazon, Lore was also competing with the e-commerce company when he founded Quidsi, known best for its Diapers.com business. He was forced to sell the company to Amazon in 2010 but after quitting Amazon, Lore started Jet.com, his new e-commerce venture, in 2015.
Having him onboard is likely to help the Bentonville, Arkansas, retail corporation in an area that seems to be largely unfamiliar territory. Compared to Amazon’s $99 billion annual revenue from e-commerce operations, Walmart has a fraction at $14 billion, Recode reported.
For more visit: ibtimes.com