Alibaba Said to Be Discussing $80 Million Investment in Boxed
- Chinese Internet giant increases bet on U.S. e-commerce
- Grocery app offers shoppers Costco via smartphone with no fee
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Alibaba Group Holding Ltd. is said to be in talks to invest as much as $80 million in the grocery ordering smartphone app Boxed Wholesale, according to people with knowledge of the matter, signaling that the Chinese Internet giant wants to expand its reach on Amazon.com Inc.’s home turf.
Founded in 2013 by CEO Chieh Huang, Boxed is a hybrid of Amazon and Costco Wholesale Corp., offering free delivery within three days on bulk grocery orders of at least $50 made through the company’s smartphone app. Shoppers can find a 76.5-ounce box of Kellogg’s Raisin Bran for $7.99, 30 rolls of Charmin Ultra Soft toilet paper for $22.39 and 140 kitchen garbage bags for $14.19.