Amazon is buying CODigo clothing brand for $2 billion.
The move will boost the online retail giant’s portfolio of apparel, as it attempts to diversify its retail business.
CODigo has a strong presence in the United States and is owned by Amazons founder Jeff Bezos.
Amazon is also acquiring a controlling stake in the retail giant, which has been struggling to find its footing as Amazon grows.
Amazon announced the deal on Monday, but it wasn’t announced on Tuesday.
“We are thrilled to partner with CODigi, a leading brand in the apparel industry, and are very excited to expand our business,” Amazon said in a statement.
“We believe in this new partnership because it creates tremendous opportunity for CODiggi to further develop its product line and grow its footprint.”
The deal also includes a $2.9 billion buyout of the company’s global retail arm, which Amazon said it acquired for $5.9bn last year.
CODigo said it was “very excited” to be joining Amazon and that it was excited to continue its mission to bring quality, innovative products to people in over 70 countries.
“Amazon is an incredible company that has an incredible track record of delivering quality, value, and convenience for its customers,” CODiga CEO, Daniel Lipschutz, said in the statement.
Lipschultz said Amazon’s acquisition of CODiGEO was “a bold move that will help us expand our reach across the world”.
“CODigi is a company that was founded by a group of creative individuals who are committed to providing customers with the best shopping experience,” Lipsschutz said.
“As a leading online retailer, Amazon has proven to be a great partner and we are excited to work together to help build a more competitive marketplace.”
Amazon is known for its high-end electronics and video games.
The company has been expanding into clothing and accessories, and recently launched its first home delivery service, which allows customers to deliver packages in minutes.