Walmart Makes Moves to Acquire Cornershop App for $225 Million, Plans to Resell to Subsidiary Walmex
BENTONVILLE, AR - Walmart is expanding its operations in Latin America and accelerating its omnichannel capabilities after acquiring Cornershop, an online marketplace for on-demand delivery from supermarkets, pharmacies, and specialty food retailers in Mexico and Chile, for $225 million.
“We are focused on making life easier for customers and associates by building strong local businesses, powered by Walmart,” said Judith McKenna, President and CEO of Walmart International. “Cornershop’s digital expertise, technology, and capabilities will strengthen our successful businesses in Mexico and Chile and provide learning for other markets in which we operate.”
Bloomberg reports that Walmart will subsequently sell Cornershop’s operations to its Mexico-based subsidiary, Walmex, as a means to bolster the company’s expansion into e-commerce. The news source also notes that Mexico is a hot market right now, with Amazon also eyeing a possible strategic move in the country.
According to a press release, Cornershop—founded by CEO Oskar Hjertonsson, Chief Operating Officer Daniel Undurraga, and Chief Technology Officer Juan Pablo Cuevas—is rapidly expanding, with the number of unique users that are tapping into its online marketplace doubling in the past year.
“This is an opportunity to leverage both of our brands, as well as Walmart’s strong supply chain and store network. Combining Cornershop’s innovative, crowdsourced delivery platform with Walmart’s unique assets will allow us to accelerate growth for both companies, delighting our customers by saving them both time and money. We are excited to welcome Cornershop to the Walmart family,” McKenna continued.
Pending regulatory approval at the end of this year, Cornershop will remain an open platform that will continue to deliver from a variety of retailers.
With another acquisition under its belt—the retailer also invested in China-based Dada-JD Daojia and Japan-based Rakuten earlier this year—will Walmart come out on top in the global grocery marketplace? AndNowUKnow will continue to keep you in the loop on all grocery retail happenings.