// Moonpig agrees to acquire gifting experience firm Buyagift for £124m
// The online retailer said the acquisition will deliver a step-change in its gifting proposition
Moonpig has agreed to acquire gifting experience business Buyagift for a total of £124 million.
The online retailer said the acquisition will deliver a step-change in its gifting proposition as it looks to benefit from the the growing £6 billion UK gift experiences segment of the gifting market.
In addition, the integration of Buyagift’s product offering into Moonpig’s platform will drive cross sell opportunities.
Moonpig chief executive, Nickyl Raithatha said: “The proposed acquisition of Buyagift rapidly accelerates Moonpig Group’s journey to become the ultimate gifting companion. There is strong strategic rationale for the transaction, and compelling financial benefits.
“Buyagift is profitable and highly cash generative, with a proven track record of strong growth and we are excited by the ways that we can further transform the business using the group’s proven playbook.
“We see significant potential for the cross-selling of gifting experiences to Moonpig Group’s loyal customers. We look forward to working with the Buyagift team to deliver an enhanced proposition for our customers and to create value for our shareholders.”
The acquisition is expected to complete by the end of July.