Dive Brief:
- 1-800-Flowers has entered into a definitive agreement to sell PersonalizationMall.com and Things Remembered to PlanetArt for about $45 million in cash, according to a Tuesday press release.
- PlanetArt intends to enter into a commercial agreement allowing 1-800-Flowers to continue offering certain PersonlizationMall.com products.
- The sale is part of 1-800-Flowers’ ongoing efforts to simplify its business and focus on core brands to help foster profitable growth, per the announcement.
Dive Insight:
Both PersonalizationMall.com and Things Remembered are changing hands — again.
“The sale of PersonalizationMall.com enables us to further sharpen our portfolio focus, strengthen our financial position and create additional capacity to invest in the strategic initiatives we believe offer the greatest opportunity to drive improved performance and long-term growth,” 1-800-Flowers CEO Adolfo Villagomez said in a statement. “As we continue to simplify our business, we are taking a disciplined approach to where ownership creates strategic value and where partnerships can provide a more efficient way to serve our customers.”
The latest agreement comes about three years after 1-800-Flowers acquired Things Remembered’s online business, which sells personalized jewelry, drinkware, home decor, business gifts and more. That transaction happened about four years after Things Remembered was sold to Enesco after a Chapter 11 bankruptcy proceeding.
PersonalizationMall.com was bought by 1-800-Flowers in 2020, despite efforts to delay the deal. 1-800-Flowers bought the brand for $245 million from Bed Bath & Beyond after Bed Bath & Beyond appealed to a court to force 1-800-Flowers to follow through. 1-800-Flowers had requested a delay due to COVID-19 pandemic-related pressures.
Now, both brands will live under PlanetArt, which was founded in 2010 and operates an e-commerce business selling personalized products.
1-800-Flowers’ Q4 total consolidated revenues dropped 12.9% year over year to $293.1 million, per a release earlier this month.
