Personalised greeting card company Moonpig has been acquired by PhotoBox, the digital photo service provider.
According to BBC, PhotoBox, a web-based photo service firm that claims to be number one in Europe has announced acquisition of Moonpig.com, a firm that sells customised greeting cards online for £120m.
PhotoBox will pay the amount of acquisition with shares in Moonpig.com while rest will be paid with bank loans and investment from private equity firms.
"It's great to see two high-growth, profitable and ambitious European online brands come together to leverage each other's strengths and create a global market leader." stated Stan Laurent, the chief executive of the group consisting of all top bosses from both the companies.
Founder of Moonpig.com, Nick Jenkins has stated that the merger will boost sale of their greeting cards as PhotoBox will help the company, which is primarily based in London and Guernsey in the United Kingdom, across the nation. Nick states that at the current position of Moonpig, it wouldn’t be able to make a mark across the nation on its own.
Jenkins is said to liquefy his 35 percent stake in the company and reinvest in the new collaboration. The founder and chairman of Moonpig.com is expected to join the new board as an advisor.