Amazon challenger Jet.com has acquired home goods retailer Hayneedle, Inc., one of the 100 largest web merchants in North America by sales, as the online marketplace startup looks to expand quickly into new product categories.
Jet, which raised more than $350 million in a recent round of funding and is currently valued at $1.5 billion, is looking to gain traction in an online retail market dominated by Amazon. While Jet offers some seven million products, it has so far emphasized CPG essentials such as facial tissues and snack foods.
By purchasing Hayneedle, Jet obtains a site that sells more than $404 million in home goods, including patio furniture and pet supplies. The company also owns more than 9,000 domain names.
Hayneedle will operate as a subsidiary and the company’s 500 or so employees will keep their jobs, according to The Omaha World-Herald. Terms of the deal were not disclosed.