Baozun Inc. (BZUN.US; 9991.HK), a sort of “Shopify of China,” raised eyebrows earlier this month when it announced it would acquire U.S. clothing retailer Gap Inc.’s (GPS.US) China business.

The move baffled many because the Chinese e-commerce services provider has never managed a brand, let alone one whose mainstay lies outside its traditional e-commerce realm. And Gap was hardly a winner, at least not in China, where it was battling years of declining profits and sales as it competed with a crowded field of slicker domestic and global rivals.

Baozun said it would acquire Gap Greater China for a meager primary consideration of $40 million, or up to $50 million after adjustments. That’s a tiny fraction of Gap’s own enterprise value of $10.17 billion, showing just how little it valued its China business. As part of the deal, Baozun, which is backed by e-commerce giant Alibaba (BABA.US; 9988.HK), said it received exclusive rights to make and sell Gap’s products in Greater China for up to 20 years.