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17.03.2020 18:50:00

Why Costco Just Spent $1 Billion to Acquire a Last-Mile Delivery Provider

Grocery giant Costco Wholesale (NASDAQ: COST) announced today that it has acquired Innovel Solutions from Sears and Kmart stores operator Transform Holdco, LLC, for $1 billion in cash. Innovel provides last-mile delivery and installation services for appliances and other bulky items.The company had been in business for decades as Sears Logistics before changing its name to Innovel in 2018. Costco has been a customer since 2015. Innovel operates 15 distribution and fulfillment centers and more than 100 last-mile cross-docking facilities, where goods are transferred from incoming freight directly to outbound trucks. The logistics company's network reaches 90% of the U.S. population, including customers in Puerto Rico. Image source: Getty Images.Continue reading
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