Hoboken startup Jet.com announced last Friday that it has made its first acquisition – purchasing Omaha based home online retailer Hayneedle.com. Financial terms of the deal were not disclosed, although some reports noted that the transaction was in the “near $100 million range”, before accounting for purchase price adjustments. Hayneedle will now operate as a subsidiary of Jet and its 500 employees would all keep their jobs.
Hayneedle reportedly grosses near $400 million in annual sales, and was the largest competitor to Wayfair.com. Wayfair recently went public in late 2014. And currently has a market cap of $3.19 billion.
Jet likely used some of the cash it raised in its $350 million financing round led by Fidelity Investment. Jet raised the money on a $1 billion pre-money valuation.
Here’s Hayneedle’s CEO, Jon Barker, donning some Jet gear after the acquisition:
— hayneedle.com (@hayneedle) February 26, 2016