A British e-commerce company specializing in ‘dropshipping’ has reached an agreement to be acquired by an American competitor. Virtualstock, chaired by Nick Jenkins, the founder of Moonpig, is set to be purchased by Logicbroker, a private equity-backed firm. The deal is expected to be finalized and announced shortly.
Virtualstock connects retailers with suppliers to fulfill online orders and has been in operation since 2004. The company processes over eight million orders annually, totaling a gross merchandise value exceeding £2bn. Retailers like Aldi, Argos, John Lewis, B&Q, and Currys are among Virtualstock’s clients.
Notion Capital, Eight Peaks, and Nick Jenkins are some of the shareholders of Virtualstock. Logicbroker, the acquiring company, is supported by K1 Investment Management, a private equity firm based in California. Once the acquisition is complete, the combined entity will have a global network of over 15,000 retail and brand partners.
Details of the transaction were not disclosed as of Monday. Virtualstock declined to provide any comments regarding the acquisition.
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