CINCINNATI — The Kroger Co. has completed the sale of its health-and-wellness e-commerce subsidiary, Vitacost.com, Inc., to iHerb, with the deal closing on January 8. Financial details were not disclosed.
Kroger stated that the divestiture is part of a broader review of non-core assets as the retailer refines its focus on streamlining the organization, enhancing the customer experience, and directing resources toward its core grocery operations. The company said the sale of Vitacost will not impact its previously issued financial guidance for fiscal 2025.
“As we shared earlier this fiscal year, we are reviewing all non-core assets to determine their ongoing contribution and role within the company as we make progress on our key priorities,” said Ron Sargent, Kroger’s chairman and CEO. He added that iHerb is well positioned to support Vitacost’s next phase of growth and that both companies are working to ensure a smooth transition for customers and employees.
Vitacost, a well-known online retailer for vitamins, supplements, and health products, will now operate as part of iHerb’s global e-commerce platform. iHerb serves customers in 180 countries and maintains a network of climate-controlled logistics centers to handle international orders.
“The acquisition of the Vitacost brand represents a strategic investment in a name long associated with quality, value, and trust among American health and wellness consumers,” said Emun Zabihi, CEO of iHerb. He said Vitacost’s strong brand equity and loyal customer base complement iHerb’s global scale and capabilities.
For mass merchants, the transaction highlights ongoing portfolio reshaping in food and retail, as large grocers reevaluate specialty and digital assets while health and wellness specialists aim to expand their reach through established brands.
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