Renowned U.S.based retail giant Walmart has reportedly announced to have expanded its brand portfolio by acquiring Eloquii – an online women’s plus-size fashion brand. Sources privy to the matter claim that the retail giant valued Eloquii at approximately $100 million.
Reportedly, the retail giant has been growing its online collection of brands over the last few years since it acquired Jet.com in 2016 in a roughly $3 billion deal.
According to a press release by Walmart, more than 50% of the women in the United States in the age bracket of 18-65 wear size 14+. The retailer is aware that the individuals in this bracket are not just looking for means to fulfil their basic clothing needs, but are also looking for on-trend fashion pieces in their respective sizes. With this acquisition the company will be standing firm with its belief of nurturing customer-brand relationships by offering a unique assortment of products that are exclusive to its portfolio.
Eloquii, which reportedly offers clothing options in sizes 14-28, currently employs over 100 individuals. The company’s workforce would reportedly continue to work through its Columbus, Ohio and its Long Island City, New York facilities after closing of the Walmart acquisition.
For the record, Americans spent a record $21.4 billion on women’s plus-size clothing in 2016. Reports claim that this segment will witness an average growth rate of 4% per year by 2020, which is why retailers like Walmart are looking for ways that would help them capitalize on this opportunity.
Walmart has not revealed any financial information related to the acquisition yet. However, sources claim that Walmart had interest from a plethora of other retailers in the sale process. Sources familiar with the development claim that the acquisition is expected to reach conclusion by the end of this year.