Yorkshire firm cardfactory has completed the acquisition of online greetings business funkypigeon.com.
The deal, which had first been announced at the end of July, saw cardfactory buy funkypigeon.com from WH Smith for £24m. At the time, cardfactory said the deal would accelerates its existing digital strategy and provide a platform for online growth.
Cardfactory is hoping that the acquisition will be earnings enhancing in its next financial year. It has targeted savings of more than £5m from optimising manufacturing fulfilment, technology platforms and product ranges.
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The deal completed on Thursday, cardactory said in a statement to the Stock Exchange.
Chief executive officer Darcy Willson-Rymer said: “This acquisition represents a key milestone in delivering our strategic ambition to build a scaled and competitive digital presence in the celebration occasions market. We welcome our new Funky Pigeon colleagues into the group and look forward to working together to accelerate our growth in the direct-to-recipient card and gifting segment, bringing together Funky Pigeon’s high-quality technology platform and digital expertise with our strong store estate and broader celebrations offer”.
In a trading update that accompanied the acquisition statement, cardfactory said it was expecting mid-to-high single-digit percentage growth in sales this year, with strong trading expected around the Back to School, Halloween and Christmas seasons.