Acquisition to expand GigaCloud’s B2B operations into the Brick-and-Mortar Wholesale sector
EL MONTE, Calif., Oct. 24, 2025 – GigaCloud Technology Inc (Nasdaq: GCT), also referred to as “GigaCloud” or the “Company,” a leading provider of comprehensive global B2B technology solutions for oversized merchandise, today announced it has entered into a binding agreement to acquire 100% of the outstanding equity interest of New Classic Home Furnishing, Inc. (“New Classic”) for $18 million.
Based in Fontana, California, New Classic operates as a profitable U.S.-based furniture distributor with a 25-year operational history, primarily serving physical retail stores across North America. New Classic generates approximately $70 million in annual revenues, offering a diverse product range of over 2,000 active SKUs and catering to more than 1,000 retailer clients. This strategic acquisition will integrate GigaCloud’s e-commerce marketplace and operational expertise with New Classic’s established brick-and-mortar presence. Furthermore, the acquisition will enhance the Company’s supply chain diversification, as New Classic predominantly sources from Southeast Asia and the United States, with less than 3% originating from China.
“This acquisition marks a crucial step in our long-term objective of creating a truly channel-agnostic B2B marketplace,” stated Larry Wu, Founder and CEO of GigaCloud. “New Classic brings us an extensive network of valuable suppliers and brick-and-mortar retailers, coupled with profound expertise in the physical retail segment. This provides us with the essential strategic foundation to begin serving these vital retailers with enhanced support and new opportunities. We are enthusiastic about welcoming New Classic’s partners into the GigaCloud ecosystem and confident that, together, we will forge a more connected and efficient future.”
“This transaction is focused on delivering the best of both worlds to our retailer customers,” commented Jean Tong, Founder and CEO of New Classic. “By combining New Classic’s established brick-and-mortar network with GigaCloud’s innovative technology and fulfillment capabilities, we can now offer greater value to our retailer customers through a more comprehensive and adaptable suite of solutions and products. This synergy ensures we are better equipped to address their evolving needs, both now and in the future.”
The term sheet specifies a total consideration of $18 million on a debt-free basis, subject to standard net working capital adjustments, and includes a post-closing earn-out contingent on achieving certain recurring revenue milestones in 2026. Following the acquisition, New Classic will retain its brand identity and current management team. The transaction will be financed using GigaCloud’s existing cash reserves.
The transaction is projected to conclude on January 1, 2026, pending customary closing conditions. There remains a possibility that the transaction may not materialize.
About GigaCloud Technology Inc
GigaCloud Technology Inc stands as a pioneer in providing global, end-to-end B2B technology solutions for large parcel goods. The Company’s B2B e-commerce platform, known as the “GigaCloud Marketplace,” unifies discovery, payment, and logistics tools into a single, user-friendly interface. This global marketplace efficiently connects manufacturers, primarily located in Asia, with resellers, predominantly in the U.S., Asia, and Europe, enabling secure, swift, and effective cross-border transactions. The Company delivers a truly comprehensive solution that manages product transportation from the manufacturer’s warehouse directly to the end customer’s doorstep, all at a fixed price. The marketplace was initially launched in January 2019, concentrating on the global furniture market, and has since expanded to include other categories such as home appliances and fitness equipment. For additional information, please visit the Company’s website: .
Forward-Looking Statements
This press release contains statements considered “forward-looking statements.” Such statements reflect our current perspective on future occurrences. These forward-looking statements carry known and unknown risks and uncertainties, and are grounded in the Company’s present expectations and forecasts about future events that the Company believes could impact its financial condition, operational results, business strategy, and financial requirements. Investors can identify these forward-looking statements through words or phrases such as “may,” “will,” “could,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “propose,” “potential,” “continue,” or similar expressions. The Company assumes no obligation to publicly update or revise any forward-looking statements to reflect subsequent events or circumstances, or changes in its expectations, unless required by law. While the Company believes the expectations expressed in these forward-looking statements are reasonable, it cannot guarantee their accuracy, and the Company advises investors that actual results may differ materially from projected outcomes. Investors are encouraged to review other factors that could influence its future results in the Company’s registration statement and other filings with the SEC.
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