1-800-FLOWERS.COM, Inc., a Carle Place, NY-based provider of gifts, today announced the signing of a definitive agreement to acquire PersonalizationMall.com, a leading online retailer of personalized products that offers thousands of products available with a broad range of innovative personalization options.
Chris McCann, CEO 1-800-FLOWERS.COM, Inc., said, “PersonalizationMall’s extensive product offering and industry-leading personalization capabilities will be an excellent addition to our growing family of popular gifting brands. The broad assortment of customizable products and processes that have made PersonalizationMall.com a premier provider of keepsake items will help us further our company’s vision to inspire more human expression, connection and celebration while enhancing our position as the leading one-stop destination for all our customers’ celebratory and gifting occasions.”
McCann noted that PersonalizationMall.com has achieved steady financial growth for the past several years, with revenues reaching more than $150 million in its most recent year. “We expect PersonalizationMall.com to be accretive to our top and bottom-line results in fiscal 2021,” he said.
The acquisition, for $252.0 million in cash (subject to certain working capital and other adjustments), includes the PersonalizationMall.com website and its new, state-of-the-art 360,000 square foot production and distribution facility in Bolingbrook, Illinois. PersonalizationMall.com will become a wholly owned subsidiary of 1-800-FLOWERS.COM, Inc.
The Company plans to finance the transaction with a combination of cash on its balance sheet and use of its existing credit facility.
The acquisition will provide 1-800-FLOWERS.COM, Inc. with several complementary and leverageable assets, including:
- A newly renovated 360,000 square foot state-of-the-art production and distribution facility;
- A large customer database, consisting of both consumers and corporate accounts;
- A purpose-built, website and mobile platform with significant and growing customer traffic and;
- An innovative and motivated product development, sourcing, merchandising and marketing team.
- PersonalizationMall.com’s extensive product offering includes a wide variety of personalization processes including sublimation, embroidery, digital printing, engraving and sandblasting.
- PersonalizationMall.com provides an industry-leading customer experience based on a fully integrated business platform that includes a highly automated personalization process and rapid order fulfillment.
The closing of the acquisition is subject to the satisfaction of customary closing conditions, including regulatory approval. Citigroup Global Markets, Inc. is serving as exclusive financial advisor and Cahill Gordon, Reindel LLP is serving as legal counsel to 1-800-FLOWERS.COM, Inc. Goldman Sachs & Co. LLC is serving as financial advisor and Proskauer Rose LLP is serving as legal counsel to Bed Bath & Beyond Inc., the current owner of Personalization Mall.