Online cosmetics retailer Birchbox has discussed a potential sale with several retailers including Wal-Mart Stores Inc, tech news website Recode reported on Wednesday.
(Reuters) – Online cosmetics retailer Birchbox has discussed a potential sale with several retailers including Wal-Mart Stores Inc, tech news website Recode reported on Wednesday.
Talks took place between Wal-Mart’s U. S. e-commerce chief Marc Lore and Birchbox co-founder and CEO Katia Beauchamp, Recode reported, citing sources. bit.ly/2vme0JQ
If Wal-Mart were to buy Birchbox, it would represent the retail giant’s fifth e-commerce acquisition since last August.
Wal-Mart has snapped up online retailers such as men’s fashion website Bonobos as it seeks to bridge the gap with e-commerce leader Amazon.com Inc.
Birchbox, which has a subscription-based model, has raised more than $80 million from investors since it was founded in 2010, in addition to previously undisclosed venture debt that the startup secured in 2015, Recode reported.
That debt is coming due in early 2018, but Birchbox has multiple offers on the table to restructure it, which is expected to alleviate any pressure to sell, the report added.
Wal-Mart and Birchbox declined to comment when contacted by Reuters.
