Web retail and cloud giant Amazon.com has signed an agreement to acquire e-commerce firm Quidsi, operator of sites like Diapers.com, Soap.com and BeautyBar.com.
“I’m not sure which is more unpleasant – changing diapers, paying too much for them, or running out of them,” said Jeff Bezos, founder and CEO of Amazon.com.
“This acquisition brings together two companies who are committed to providing great prices and fast delivery to parents, making one of the chores of being a parent a little easier and less expensive.”
Under the terms of the agreement, which has been approved by Quidsi’s stockholders, Amazon will acquire all of the outstanding shares of Quidsi for about US$500m in cash, as adjusted for the assumption of options and warrants, and also assume about US$45m in debt and similar obligations. The acquisition is expected to close in December 2010.
Pioneering culture of innovation
“Amazon shares our commitment to the customer,” said Marc Lore, co-founder, chief executive officer and chairman of Quidsi.
“We are excited to be part of a company that will help us to serve an even larger audience, and we will continue delivering unexpectedly great service that makes life a little easier – that is our mission.”
Following the acquisition, Quidsi will continue to operate independently under its current leadership team. In addition to Diapers.com and Soap.com, Quidsi recently launched BeautyBar.com, a prestige beauty boutique.
“Amazon is a pioneer,” said Vinit Bharara, co-founder and chief operating officer of Quidsi.
“Amazon is built on a culture of innovation and long-term vision. Quidsi is driven by these same core values, and we look forward to joining forces.”