US department store Macy’s has agreed to buy luxury beauty retailer Bluemercury for $210m (£138m) in cash as it seeks to broaden its offer.
Through the deal, which is expected to be complete by the start of May, Macy’s will acquire Bluemercury’s 60 stores located across 18 states, as well as its online business.
Bluemercury co-founders Marla and Barry Beck, who set up the company in 1999, will continue to head the firm. Its team of approximately 500 staff will remain in their current roles.
Macy’s chairman and chief executive officer Terry Lundgren said: “Beauty is a core signature business for Macy’s and Bloomingdale’s and a continued platform for our company’s profitable sales growth.
“With Bluemercury, our company can access a new channel to reach additional customers, add new dimensions to our product offering and apply our expertise in omnichannel retailing.
“Our plan is to operate and significantly expand Bluemercury stores as a standalone business with an enhanced omnichannel component for a seamless customer experience across stores, online and mobile. Concurrently, we also plan to add selected Bluemercury products and boutiques to Macy’s stores nationwide.”