Walmart has sold its Modcloth apparel brand to financial investment firm Go Global Retail for an undisclosed amount.
As part of the deal, Go Global will invest in ModCloth's digital portfolio including additional resources for artificial intelligence and predictive analytics. Go Global's agreement will also see ModCloth remain independently operated. The autonomous fashion brand will remain focused on its core customers and continue to offer a full range of sizes.
"We believe that together with current management, ModCloth has the ability to become a stronger player in the premium fashion market, nationally as well as internationally," says Jeff Streader, managing director, Go Global.
Founded in 2002, ModCloth concentrates on indie and vintage-inspired women's clothing, shoes, handbags and accessories for women 18-35 years old. Walmart acquired the assets and operations of the company in 2017.
"We believe that ModCloth's strong brand equity positions it for growth in the future," says Ashley Hubka, senior vice president, corporate strategy, development and partnerships, Walmart. "We feel good about the progress at ModCloth and believe that Go Global's team and scale out strategy presents an attractive opportunity for the employees and customers of this beloved brand."
Go Global's purchase of Modcloth is expected to close before the end of the year.