Shutterfly Acquires Nexo Systems For Roughly $15 Million
Shutterfly, the $500+ million valued online photo sharing and printing company announced earlier that they have acquired Nexo.Â Â The amount is for roughly under $15 million in the form of cash and stock.Â Nexo Systems Inc. is a company that makes it easy to create web sites and e-mail lists.Â Here’s the synergy in the acquisition:
1.) Shutterfly’s core demographic are families that enjoy sending pictures to each other to share memories.
2.) Nexo’s demographics are those who want to create quick web sites that revolve around pictures, blogs, and videos.
Craig Jorasch and Tom McGannon, Nexo’s founders, will join the Shutterfly’s technology team.Â Shutterfly is based in Redwood City, Calif. and Nexo was based in Palo Alto Calif.Â Shutterfly has over 1.5Â billion images uploaded in its digital archive.Â
“Photos play an important role in social expression and personal publishing, and Shutterfly is proud to be an early pioneer of online sharing. The acquisition of Nexo accelerates our next-generation sharing platform and enhances Shutterfly’s market leading position and consumer value proposition,” stated Jeffrey Housenbold, Shutterfly’s President and CEO. “Nexo’s talented development team has deep experience with Web 2.0 technologies and services. Nexo’s services will complement Shutterfly’s products and services, giving our customers more ways to connect with friends and family and to share pictures taken with multiple cameras at special events – from weddings and family reunions to the kids’ weekly soccer game.”
[Information Source: StreetInsider]This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry