PetSmart Acquires Chewy For $3.35 Billion

Phoenix, Arizona-based pet retailer PetSmart announced on Tuesday that it is acquiring online pet retailer Chewy, in a deal which is reportedly worth $3.35 billion. PetSmart--which did not disclose the purchase price of the deal in its announcement--will gain an online channel which has grown to over $1 billion in sales. Chewy was founded in 2011 by Ryan Cohen and Michael Day; Chewy will continue to be led by Cohen, the company's CEO, and operate "largely" as an independent subsidiary, according to PetSmart. PetSmart was asdvised by Citi and Barclays, and Simpson Thacher & Bartlett LLP: Chewy was advised by Allen & Company, and Weil, Gotshal & Manges LLP.