Gardening hardware product retailer Garden Centre Online has been acquired by home shopping specialist Flying Brands for an expected fee of £0.13 million.
The turnover of the online garden business in the 12 months to August 2009 was £1.25 million, but the company generated a pre-tax loss of £0.11 million.
Sales and profit loss in the year to the end of August 2010 are predicted to be of a similar level.
Stephen Cook, CEO of Flying Brands, commented: “The acquisition of Garden Centre Online is another example of our strategy of acquiring businesses in areas that are complementary to our existing product range and that enable us to leverage our growing customer base.
“It will increase further our online sales and we look forward to being able to offer our existing customers a wide range of great value-for-money hardware products.”
Flying Brands published its half-yearly report earlier this month, showing that sales in its garden division hit £11.06 million. Even though this was down £190,000 on the previous year, the sector’s active customer database grew to 372,000.
The statement also revealed that an agreement in principle has been reached for the sale of Benham, the manufacturer of commemorative coins and medals.
Flying Brands has already acquired gift retailer Flowers Direct and designer florist Drake Algar this year, with the latter business costing an initial consideration of £0.5 million.