goPuff Accelerates Geographic Expansion, Growth and Innovation with Acquisition of BevMo!
goPuff, the go-to platform for consumers’ everyday needs, today announced that it has entered into a definitive agreement to acquire BevMo!, the leading alcoholic beverage specialty retailer on the West Coast, for upfront consideration of $350 million.
“We’re proud to bring goPuff’s operations to California and look forward to investing in talent and real estate across the state,” said goPuff co-founder and co-CEO Rafael Ilishayev. “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.”
Powered by its industry-leading technology and unmatched distribution network of more than 200 micro-fulfillment centers, goPuff currently serves customers in more than 500 U.S. cities. The acquisition significantly accelerates goPuff’s entry into California and will provide millions of new customers in BevMo!’s network of neighborhood stores with access to immediate delivery of everyday items, including baby and pet products, cleaning supplies, food and alcohol, along with local favorites.
“BevMo! has an extremely loyal customer base and a deep infrastructure across three states,” said goPuff co-founder and co-CEO Yakir Gola. “Bringing its iconic brand, locations and employees together with goPuff’s tech-driven, vertically integrated operating model positions us for unparalleled opportunity. We’re thrilled to welcome BevMo! employees to the goPuff team and look forward to building relationships with these new local communities.”
BevMo!’s footprint of 161 neighborhood stores located throughout California, Arizona and Washington provides extensive infrastructure for goPuff to seamlessly integrate into its network of local micro-fulfillment centers, enabling it to reach customers across the West Coast in 30-minutes or less. Through goPuff, BevMo! customers will soon have access to instant delivery of alcoholic beverages as well as everyday items across goPuff’s rapidly expanding product inventory.
“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!. “We look forward to helping introduce goPuff to California and working together to further enhance the experience for BevMo! customers and our communities at large.”
“On behalf of TowerBrook and the board, we want to thank the thousands of dedicated and talented employees that have helped make BevMo! the beloved brand it is today,” said Cathy Stauffer, Chairman of BevMo!. “goPuff shares our commitment to a superior customer experience and providing ultimate convenience. With different roots, but highly complementary business models, values and goals, goPuff is a perfect fit for BevMo!’s next chapter.”
The transaction is anticipated to close within 30 days, subject to customary closing conditions.
Evercore acted as financial advisor to goPuff in connection with the transaction. Cooley LLP acted as goPuff’s legal advisor.
J.P. Morgan provided financial advisory services to BevMo! Kirkland & Ellis LLP acted as BevMo!’s legal advisor in connection with the transaction.