Big-box pet supply store PetSmart is expanding its presence in your pet’s life and in its food dish, acquiring the popular online pet supplies vendor Chewy.com.
The companies didn’t disclose the purchase price or other financial details of the deal, but it’s expected to close in the second quarter of this year.
PetSmart has been trying to compete with online retailers by expanding its offering of services that can’t be provided over the internet, like pet grooming and boarding.
Chewy, meanwhile, has been growing quickly since it launched in 2011, but had not yet turned a profit. It’s known for friendly customer service and for entering customers in a lottery to win a commissioned oil portrait of their pet. It gives away hundreds of portraits every week.
“Chewy’s high-touch customer e-commerce service model and culture centered around a love of pets is the ideal complement to PetSmart’s store footprint and diverse offerings,” Michael Massey, president and CEO of PetSmart said in a statement. “Together, PetSmart and Chewy will provide the most convenient customer experience to a wider base of pet parents across every channel.”
The companies say that Chewy will function as an independent subsidiary, but with parent company PetSmart “[continuing] to execute its strategic initiatives across the combined company.”
Update: Recode reports that the purchase price was $3.35 billion, which would make this the biggest acquisition of an e-commerce company ever.