Costco has agreed to sell the computer parts and electronic goods it has been manufacturing for more than 50 years.
Costco has been in the computer and electronics business for over 40 years and it is part of the US company Kmart, which is now part of Walmart.
The retailer said the sale would give the company an opportunity to invest in its local operations and to expand its global reach.
Costz said the company would retain its headquarters in Stamford, Connecticut, in a move that has been welcomed by customers.
It has about 200 staff working in stores across the US, including in New York, Los Angeles and San Francisco.
“We have made this decision to build on our existing relationships with our local team members and suppliers and we will continue to collaborate with the suppliers to ensure our local businesses are as competitive as possible,” said John Costz, chairman and chief executive officer of the company.
“Our customers will benefit from our greater access to technology, our ability to create and market new products and services and our ability as a global retailer to offer the best possible service to our customers.”
Costco is excited to continue to serve our customers by providing them with our best-in-class product selection, and by building a strong brand for our brand.
“Costco previously sold the computer equipment business to eBay.
It also bought a stake in Kmart.
The combined business will continue as an independent retailer that will remain focused on its core business and focus on our core customers. “
We will continue investing in our local communities, and we are committed to continuing to grow our business to support our mission of serving the needs of the communities where we are located,” Costz said in a statement.
“The combined business will continue as an independent retailer that will remain focused on its core business and focus on our core customers.
The combined business and our employees will continue their efforts to build a better, more innovative retail experience for our customers, our employees and the communities we serve.”
The company will also make a further $1.5bn in shareholder dividends, according to a release.
Costsco is the fourth US retailer to sell out its computer and equipment business, which it has since merged with the retail giant Target.
Target said last month it would not be selling its computer hardware division to a buyer.
Costco, which makes computer and electronic products for electronics retailers, is the second-largest electronics retailer in the US.
The chain is also expected to close its first two store in the city of Stamford, which has been home to many of its manufacturing operations since the 1950s.