Furnishings retailer Dunelm has agreed to buy baby goods specialist Kiddicare in a push to boost its online offering.
Dunelm will acquire the baby goods retailer as part of an £8.5m deal for online shopping group Worldstores.
It is the latest twist for Kiddicare, which was bought by supermarket chain Morrisons for £70m in 2011 before being sold for £2m just three years later.
Morrisons also took a hefty writedown on the online seller of cots, car seats, push chairs and nappies.
Kiddicare was bought by Worldstores from private equity owners in 2014, where it joined the group’s portfolio of home and furniture websites.
Dunelm said the deal for Worldstores would more than double the size of its internet operation.
John Browett, chief executive of Dunelm, said the group’s “unique platform for next day delivery and flash sales” would also strengthen Dunelm’s position in UK homeware.
Worldstores has annual revenue of about £100m and 650 employees, but is expected to make losses of £5m to £10m this year, Dunelm said.
Source: BBC NEWS