Report: Walmart could sell off Pittsburgh-founded ModCloth

The entry to ModCloth's Crafton office and fulfillment center. (Pittsburgh Business Times)

 

PITTSBURGH — Retail giant Walmart may jettison its investment in ModCloth, the ecommerce fashion startup founded out of a Carnegie Mellon University dorm room that still has a presence here.

After buying the fashion ecommerce firm three ago in early 2017 to boost interest from a new generation of online shoppers, Walmart is now pursuing a possible sale of ModCloth and perhaps other ecommerce holdings as it works to overcome losses in its ecommerce division, according to a new Recode report in Vox.

ModCloth operates a facility in Crafton, an operation originally established when the then fast-growing company was based here and often needing of more space but moved its headquarters to San Francisco more than five years ago.

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