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News & Features Technology Amazon splashes out $545m on Quidsi

Amazon splashes out $545m on Quidsi

Written by Entrepreneur Country on Wednesday, 10 November 2010 16:52
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Amazon has announced a deal to acquire Quidsi, the company behind e-commerce retailers Diapers.com and Soap.com for a reported $540m in cash.

Under the terms of the agreement, which has been agreed by Quidsi's stockholders, the company will remain independent with the same leadership team. Amazon will acquire all of the outstanding shares of Quidsi for $500m as well as approximately $45m in debt.

The Quidsi acquisition is arguably as much an attempt to secure the companies client base as it is to secure high quality product lines. Of Quidsi's 500,000 customers through Diapers.com almost 80 per cent are women, an audience that Amazon is keen to tap in to. Women in the US are estimated to account for 72 per cent of consumer purchasing but make up only 48%.

Jeff Bezos, founder and CEO of Amazon.com said that "This acquisition brings together two companies who are committed to providing great prices and fast delivery to parents, making one of the chores of being a parent a little easier and less expensive."

Last modified on Wednesday, 12 January 2011 18:20

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