PHILADELPHIA — App-powered delivery company goPuff has entered into a definitive agreement to acquire alcohol beverage retailer BevMo for $350 million.
The Concord, Calif.-based retailer has 161 stores throughout California, Arizona and Washington, and will expand the footprint of Philadelphia-based goPuff, which currently operates in more than 500 cities.
The deal comes less than a month after goPuff, which sells anything found in a typical convenience store, announced that it raised $380 million in new funding to further accelerate its geographic expansion, product category offerings and investment in talent.
“Partnering with BevMo quickly advances our strategic objectives of providing more customers in new geographies with a seamless solution for their instant needs. Through this acquisition, goPuff will operate coast-to-coast, solidifying our presence as a leading, national consumer business,” said goPuff co-founder and co-CEO Rafael Ilishayev.
BevMo’s footprint of neighborhood stores provides extensive infrastructure for goPuff to integrate into its network of local micro-fulfillment centers, allowing it to reach customers across the West Coast in 30 minutes or less, goPuff said. Through goPuff, BevMo customers will soon have access to instant delivery of alcohol and everyday items.
“Joining goPuff, a company that has created a truly differentiated approach and defined the instant needs category, will allow us to better meet our consumers’ evolving needs, including delivering everyday essentials directly to their doorstep,” said Josiah Knutsen, CEO of BevMo.
The companies said they expected the transaction to close within 30 days.
In addition to selling alcohol, BevMo has a wide assortment of products including specialty foods, cigars, glassware and bar and wine accessories.
goPuff, founded in 2013 by co-CEOs Ilishayev and Yakir Gola, has micro-fulfillment centers in every market it serves and delivers products for a flat $1.95 delivery fee. It is open 24/7 in many markets and late night everywhere else.