Walmart is a multinational retail corporation that is best known for its grocery stores, hypermarkets, and discount department stores. It was founded in 1962 by Sam Walton when he opened the first small discount store in Rogers, Arkansas. The company is now a global operation with 11,3000 stores in 27 countries, plus eCommerce websites available in 10 countries. Although the Walmart brand is well-known, the company has expanded into many areas and acquired many other companies that still operate under their own names. Therefore, there are many companies that people are not aware are part of Walmart. Here are 20 companies that you didn’t know Walmart owned.
According to Investopedia, one of the main subsidiaries of Walmart is Vudu. This is a media technology company that specializes in content delivery and internet distribution of films to television networks in Canada and the United States. Users can access Vudu through a variety of platforms. Walmart acquired Vudu for $100 million in 2012.
Walmart acquired Moosejaw in 2017 for $51 million, says Stash Learn. This is a Michigan based outdoor retailer that has 10 bricks-and-mortar stores and a large online presence. Due to this acquisition, Walmart now has access to brands including Patagonia and The North Face.
3. Asda Stores, Ltd.
In 1999, Walmart hit financial headlines when making one of its biggest acquisitions. The Guardian reported that they outbid many other businesses to buy the supermarket chain Asda with a winning bid of just under $7 billion. Asda retained its own name following the acquisition and there are currently 633 stores across the United Kingdom. Walmart announced in 2018 that they intend to sell Asda to Sainsbury’s for a reported $10.1 billion. The terms of the deal mean that Sainsbury’s will pay Walmart $3 billion in cash and Walmart will retain a 42 percent stake in the company.
4. Sam’s Club
Sam’s Club is a secondary business founded by Sam Walton in 1963. They are warehouses that allow small business owners to buy their goods in bulk to help them save money. There are currently over 600 Sam’s Clubs in the United States, with a further 200 warehouses internationally. To shop in these warehouses, you must register your business and become a member. You then purchase goods in bulk using your membership card. These stores have many facilities to make the shopping experience quicker and easier. Many also offer specialty services, such as pharmacy, optical or hearing centers, travel, auto buying, and tire centers.
Jet.com is an online retailer. The categories of products they sell include fashion, groceries, household, home, and beauty products. Walmart acquired the e-Commerce sire for $3.3 billion in August 2016. This was the largest acquisition of an e-Commerce site in history and was part of Walmart’s attempts to rival Amazon. Marc Lore, the co-founder and chief executive officer of Jet.com, stayed on to run the company. The deal included a payment of $3 billion in cash and $3 million in Walmart stocks as an incentive to the executives of Jet.com. The acquisition of this company is a driving force behind Walmart’s e-commerce expansion.
ModCloth is an online retailer of women’s fashion and accessories. Walmart acquired this company in 2017 via its Jet.com subsidiary. The exact figure paid has not been disclosed. However, it is believed that Walmart paid somewhere between $50 million and $70 million. Forbes reported that Walmart was expanding its e-commerce portfolio as part of the ongoing campaign to compete against Amazon and that it would bring millennial customers to Walmart, thanks to ModCloth’s quirky indie cred.
TechCrunch reported that Walmart had closed an all-cash acquisition deal with Art.com in early 2019. Art. Com is an online art and wall décor retailer that was founded in 1998. It is now the biggest online retailer in its category and achieves annual sales in excess of $300 million. The site offers various customization options. Walmart plans to operate Art.com as a complementary and stand-alone site to its other e-commerce offerings.
8. Seiyu Group
Seiyu is a Japanese group of supermarkets, shopping centers and department stores owned by Walmart. Seiyu Group refers to an association of companies, of which The Seiyu, Ltd. is the parent. Acccording to Crunchbase – “Seiyu has a store network that covers a wide range of areas from Hokkaido to Kyushu in Japan, groceries, clothing, operates a department that stocks such as housing supplies. “Price”, as an axis that continue to offer “freshness and quality”, “assortment”, a well-balanced to customers with four of the value of “convenience”, sales force, working to strengthen such as product procurement capabilities is. While taking advantage of Wal-Mart Stores, Inc. global network and creditworthiness of the parent company enough, is aggressively policy is to expand the suit was the sales floor to the tastes and needs of Japanese customers.”
Although Walmart is trying to compete with Amazon, they are also trying to differentiate themselves by having e-commerce sites that sell items not sold on Amazon, says Recode. One example of this is their acquisition of ELOQUII, a women’s plus size online fashion retailer. This is also an example of how Walmart is trying to strengthen its position in the apparel market. It was reported that Walmart paid $100 million for the company, which is approximately 2.5 times the company’s annual revenue. Walmart is hoping that ELOQUII will help with the modernization of its brand.
10. Bare Necessities
Shortly after acquiring ELOQUII, Walmart went on to acquire Bare Necessities, says Digital Commerce 360. Bare Necessities is a well-established online lingerie company that had been in operation for 20 years prior to the acquisition. Walmart did not disclose the details of the acquisition, such as the price or the terms of the deal. However, they did say that it would stand alone as an e-commerce site to complement their other e-commerce sites, but they also plan to integrate the products onJet.com and Walmart.com. Noah Wrubel is the co-founder and chief executive officer of Bare Necessities, and he will continue to run the business following the acquisition. He will also run the intimates category for both Walmart.com and Jet.com.
Walmart announced in May 2018 that they intended to acquire Flipkart. They said they would pay $16 billion for a 77 percent controlling stake. Walmart’s bid for the Indian e-commerce company beat that of Amazon.com, and Walmart announced that the deal was completed on August 18, 2018. According to Economic times, Flipkart is India’s largest online retailer and the deal with Walmart is the largest exit strategy for venture capital and private equity investors in India of all-time. While co-founder Binny Bansal remains invested, the other Flipkart co-founder Sachin Bansal has exited the company. Walmart CEO Doug McMillon told employees of the company that Flipkart would remain distinct from Walmart, and that Walmart simply wants to empower them and let them run.
Massmart Holdings Limited is a South African company that is the second-largest distributor of goods in Africa. They own many local brands, including CBW, Builder’s Warehouse, Makro, and Game. The company was founded in 1990 and bean with the acquisition of six Makro stores. Walmart acquired a 51 percent controlling stake of the company in 2011 for a reported $2.54 billion. Fin 24 interviewed Massmart’s CEO Guy Hayward about how the company is doing since the acquisition. Hayward said they have had the opportunity to learn a lot from Walmart by seeing what they do right and what they have done wrong. Two of the biggest changes are a responsible sourcing programme and the Ezemvelo Direct Farming Programme, although the latter no longer exists.
Retail Dive reports how Walmart acquired Bonobos in 2016 in a $30 million deal. Andy Dunn, the founder of the company, was kept on as the senior vice president of the online retailer. Prior to the acquisition, Micky Onvural was the co-president and chief marketing officer. She then became the chief executive officer of Bonobos. She told Retail Dive nothing had changed but also everything had changed since the acquisition. The business had already been in operation for more than a decade when Walmart took over. Walmart carefully selected this company for acquisition as they are trying to get in on a new market. They accept that they are not a cool brand and have chosen many of their e-commerce acquisitions to make them seem a more hip brand that will attract younger customers.
Formerly known as Shoebuy.com, Shoes.com is one of Walmart’s more recent e-commerce acquisitions. The company was founded in 1999 and then acquired by IAC in 2006. It was then acquired for the second time in 2016 by Jet.com, Walmart’s subsidiary company. They immediately rebranded the company as Shoes.com. The business has over one million products available on their website, and many of these are also sold by Jet.com. Footwear News says that the acquisition deal was worth $70 million. Like many other of their e-commerce acquisitions, Walmart wants Shoes.com to operate as a standalone but complementary component to Jet.com and Walmart.com. Likewise, it is part of Walmart’s continued project to widen its digital reach and to compete with Amazon.
One of Walmart’s latest acquisitions is Aspectiva. This is a product review startup that is based in Tel Aviv. Walmart did not disclose the amount that they have paid for this company when they made the announcement in 2019. According to TechCrunch, this is another step that Walmart is taking to compete with Amazon. It is not yet clear whether Aspectiva will use its own service or use existing technology that Walmart will use in both its brick-and-mortar stores and their online store. Walmart’s aim is to develop more innovative shopping experiences.
Lider is part of Walmart Chile. Although they are predominantly a grocery store, they also sell toys, appliances, electronics, and home products. The company was originally owned by Distribucion Servicio but Walmart acquired 58.3 percent of the stock in 2009. The remainder of the stock is owned by the Ibanez Scott brothers. There are 91 Lider Hipers and 96 Lider Express.
According to the company snapshot provided by Bloomberg, Supermarcados Amigo is a chain of supermarkets in the United States that was founded in 1966. Walmart took over the company in 2004 and closed any of the stores that were close to a Walmart of a Sam’s Club. In 2017, it was rumored that Walmart was looking for a buyer for Amigo, but currently, this company is still owned by Walmart.
Business Insider explains how Walmart took on Hayneedle as part of its acquisition of Jet.com. Hayneedle is an Omaha-based online retailer and Walmart hoped that by acquiring this company it would strengthen their position in their bid to take on the online giant Amazon.
19. Best Price Modern Wholesale
Walmart entered a joint venture with the Indian company Bharti Enterprises in 2006. Due to government restrictions, Walmart could not enter the retail sector directly. Therefore, Bharti operated their retail outlets and Walmart operated 20 stores under the name Best Price Modern Wholesale following Indian government approval. Bharti and Walmart went their separate ways in October 2013, but Walmart still operates their 20 Best Price Modern Retail stores in India.
Currently, Walmart owns 51 percent of the Central American Retail Holding Company (CARHCO), which operates in countries in Central America. The Financial Times reported in September 2005 that Walmart had bought the stake in the company. This company operates 811 stores across Guatemala, El Salvador, Nicaragua, Honduras, and Costa Rica.