CINCINNATI, OH – According to Forbes Boxed has received an indication of interest in acquisition from Kroger and several other retailers. Forbes projects that multiple companies will make formal bids for Boxed in the next week, resulting in a quick auction process.
Although Costco, Target, and Aldi have been rumored bidders as well, according to Forbes, Kroger is one of the most likely candidates according to inside sources, who also speculate that initial offers will range from $325 million to $500 million, as the company had a 2016 valuation of $470 million.
Forbes argues that, were Boxed to remain independent, it could raise additional funds and continue to grow its valuation. Boxed's business structure as a digital alternative to traditional memberships; Boxed offered retailers exclusive deals, which locked in prices and allowed the company to move away from the restrictions of a traditional membership.
This possible acquisition on the part of Kroger represents a larger industry trend toward a convienence-based grocery market, as indicated by Walmart's acquistion of Jet.com and Moosejaw.
To stay informed on speculative offers and whether Boxed will execute the deal, keep reading AndKnowUKnow.
