News

Kroger buying healthy living e-tailer Vitacost.com

July 2, 2014

The Kroger Co. and Vitacost.com, an online retailer of healthy living products, have announced a definitive merger agreement under which Kroger will purchase all outstanding shares of Vitacost.com for $8.00 per share in cash, or approximately $280 million. 

According to the companies, the purchase price represents a premium of 51 percent to Vitacost.com's closing share price on Feb. 19, 2014, the day before a major Vitacost.com shareholder publicly asked the company to evaluate strategic alternatives. The terms of the agreement were unanimously approved by the Boards of Directors of both companies.

"We are delighted to welcome Vitacost.com to the Kroger family," said Rodney McMullen, Kroger's chief executive officer.  "Vitacost.com's talented team has built an exceptional online retail destination in the growing nutrition and wellness market, with an enviable technology and fulfillment infrastructure. This merger is in line with our growth strategy to enter new markets and new channels, and — along with Harris Teeter's online order and pick up service — accelerates our efforts to provide customers with even more ways to shop.