Boxed.com Gets a New Lease on Life With Acquisition Deal — Retail Bum

Wholesale retailer Boxed.com has been acquired by MSG Distributors, Inc. for an undisclosed amount four months after the company filed for bankruptcy.

The decade-old company set out to establish itself as a digital alternative to warehouse retailers, such as Costco and Sam’s Club, offering everyday essentials and pantry products in bulk to businesses and consumers sans membership fees. In 2018, it turned down a $400 million acquisition offer from Kroger and partnered up with Aeon, one of Asia’s largest retailers, to expand its business. At the time, the company was reportedly close to achieving profitability, with more than 7 million registered users.

Later, in 2021, the company underwent a reverse merger and acquired Seven Oaks Acquisition in a $900 million SPAC deal that resulted in its NYSE listing. The listing was estimated to have given the company $334 million in net cash proceeds, including a $120 million investment from Avanda Investment Management, Brigade Capital Management, and Onex Credit.

Still, the company struggled to find footing in the hyper-competitive food and grocery delivery space. In just the last two years, several other delivery startups have either looked to scale down their business or folded tent. For example, fast-delivery service Food Rocket shut…