Kroger could be considering to purchase online wholesaler Boxed for up to $500 million according to a source familiar with the situation.
According to the person who wishes to remain anonymous, the deal could value Boxed at around $325 million to $500 million.
Boxed sells items in bulk such as toilet paper and delivers it to people’s home.
With e-commerce giant Amazon acquiring Whole Foods Market for nearly $14 billion, the market is heating up, especially with Target also agreeing to buy Shipt for $550 million. Shipt is a same-day delivery platform.
The source has said that there could be other retailers interested in purchasing the company.
Disclaimer: We have no position in Kroger Co. (NYSE: KR) and have not been compensated for this article.