Hilco Streambank and Hilco Valuation Services (together “Hilco“) have been instructed to seek offers to acquire “Project Stamp“ (the “Company“), a business offering personalised cards, gifts and flower bouquets purchasable via the Company‘s ecommerce website platform.
Launched in the last decade, the Company is a market innovator producing premium, innovative, and engaging card, flowers and gift products. The Company has developed a distinctive brand within the fast-growing personalised print-on-demand greetings and gift sector. The Company’s unique products create treasured memories for its customers and the engaging viral videos create a self-perpetuating marketing stream fuelled by authentic, customer-generated content.
The Company has multiple revenue streams stemming from its diverse product offering, and in the last eighteen months has embarked into a further growing product verticals: gifting, flowers and personalised greeting cards. The Company‘s in-house production expertise enables it to develop new products while scaling to meet demand quickly and efficiently. The Company now offers a full card, flower and gifting range in the UK, attracting growing repeat purchases from its increasingly loyal customer base.
Due to the technical complexity of its innovations, which allow for advanced customisation, the Company’s products command a higher price point than its competitors and sit within the premium end of the market, the fastest-growing online category. Each new product launch has driven repeat purchase and average order value, signalling that customers trust the brand and quality of its products.
The Company has developed a robust digital marketing strategy that has solidified its position as a sector innovator with proven customer demand in over 100 countries, a globally adaptable website, and a significant social media presence. With over 2.4 million customers worldwide, the Company has built a brand synonymous with fun, surprise, and originality.
The Company most recently generated annual revenues in excess of £9m despite the global challenges of COVID-19, with gross margins consistently exceeding 50%. The diverse range of personalised gifts available and significant growth in the online greeting card industry has seen the flowers, cards and gift market grow significantly in recent years. With the global personalised gift market forecast to reach $38.66bn by 2027 [1], this sale presents a rare and exciting opportunity for an opportunistic buyer to acquire a distinctive and well-known business to exploit the robust demand in the personalised online cards and gift market.
Highlights of the business include:
Brand
The attractive brand of a leading gifting company built for the digital age, with a portfolio of prestigious corporate clients and millions of loyal customers across the globe. The brand is supported by the Company‘s online website and dominating market presence, and includes engaging social media accounts across Facebook, Twitter, Instagram, YouTube, and Pinterest.
Lucrative Income Model
The Company has a robust online income via through its ecommerce store and has worked with several high-profile companies through corporate partnerships.
Attractive Intellectual Property Portfolio
The Company has developed an extensive intellectual property portfolio to protect the Company‘s competitive advantage in the market. This portfolio includes trade marks, domain names, a vast customer database, and the Company‘s newly-transformed ecommerce website.
Machinery & Business Assets
The Company operates out of a 26,444 ft2 facility in the South East. All orders placed before 2pm are dispatched same day (Monday-Friday) with 95% of UK orders arriving next day.
The production facility comprises a support office, 3-story mezzanine, production and fulfilment centre housing a robotic cutter and three smaller bench top printers. Operational capacity increases 10-fold at peak periods with capability to run a 24/7 operation.
Stock
The Company also holds several hundreds of thousands of pounds worth of stock.
Detailed information and access to a virtual data room is available under NDA, which can be downloaded here.
Offers are due November 24, 2021 at 4pm GMT.
All expressions of interest and bids are to be directed to Hilco in writing. Please contact Hilco to gain access to a virtual data room of further information on signing of a confidentiality agreement.
The bidder acknowledges that Hilco acts as an agent and has not verified the information in this teaser. A sale will be completed without any warranties, expressed or implied. Hilco has not verified the information provided, and bidders are deemed to have carried out their own due diligence.
VAT, if applicable, at 20% will be added to the price. A non-refundable deposit will be payable by the buyer within 48 hours of bid acceptance. A buyer‘s premium of 10% of the sale price is payable by the winning bidder. Legal completion to occur within 5 business days of bid acceptance. Hilco Streambank’s full Terms and Conditions apply.
References
[1] Market Research Future, Personalized Gifts Market Information by Product Type, End-User, Distribution Channel, and Region – Forecast till 2027 (Market Research Future 2021)
