Walmart is taking aim at some of the nation’s biggest retail retailers by trying to buy some of their retail assets, according to people familiar with the matter.
The retailer plans to acquire about 1,000 retail assets from retailers including Kohl’s, Target and Walmart, and is considering options to expand its reach into golf, a person familiar with Walmart’s plans said.
Walmart, which has about a dozen stores in the U.S., has said it has bought about 2 million acres of land since 2004 and plans to buy another 200,000 acres of public land.
It has been trying to diversify its business by selling off assets and expanding into a range of industries, including apparel, consumer goods and health care, the people said.
Walmart’s strategy to acquire assets has not been disclosed.
It could be a signal that Walmart is gearing up for a push into golf as it continues to lose money in the retail space, said Richard Triche, president of Golf Digest, a golf publication.
Walton said last month that it plans to invest about $2 billion in the next 10 years on retail investments in the golf-focused retail business.
The company’s retail strategy has been driven by a desire to attract customers from a range the size of Walmart’s U.P. footprint, the person said.
In addition to its retail stores, Walmart also has more than a dozen golf-specific stores, including one at its namesake golf course in Lake Tahoe, Calif.
Walons efforts to diversification have drawn criticism from some retail analysts.
In a letter to investors this month, Target warned that Walmart’s “over-extension” in golf could hurt its long-term growth.
WalMart’s stock has fallen more than 70% since it started the process of acquiring assets from its retail businesses, a decline that has accelerated since January.
Walter White, the first black CEO of the retailer, was forced to resign in October after a series of high-profile incidents involving racism.
Wal-Mart said in its proxy statement last month it would sell more than $4 billion worth of stock in the near-term and another $5 billion in 2021.