Card Factory (LSE:CARD) has completed the purchase of Funky Pigeon from WH Smith PLC for £24 million, advancing its digital and omnichannel ambitions. This deal positions Card Factory as the UK’s second-largest online retailer of cards and gifts. By integrating Funky Pigeon’s technology platform, the company aims to boost operational efficiency and enhance customer experience, with expected annual synergies and earnings improvements exceeding £5 million. The acquisition will be financed using existing debt facilities, keeping leverage impact minimal, and is forecasted to deliver solid returns to shareholders.
Card Factory’s outlook is supported by strong financial results and appealing valuation metrics, offering promising growth and income opportunities. While short-term technical signals indicate some volatility, the company’s long-term prospects remain encouraging thanks to strategic growth initiatives and positive market sentiment.
About Card Factory
Card Factory is the UK’s foremost specialist retailer of greeting cards, gifts, and celebration products, catering to a broad range of occasions. The company emphasizes a balanced approach across its physical stores and expanding digital channels.
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