Redwood City, Calif. - Online photo services resources
said Wednesday it was the winning bidder for Eastman Kodak's Kodak Gallery assets at $23.8 million.
There were no competing bids for Kodak's competing online photo printing operation, the company reported.
The acquisition must await final approval by the bankruptcy court, but both Shutterfly and Kodak expect a prompt closing of the acquisition, the companies said in a statement.
Once completed, Shutterfly will work with Kodak to transfer
U.S. and Canadian customers and images onto the Shutterfly platform.
"I'm excited to welcome Kodak Gallery's customers to Shutterfly and look forward to working with the Kodak team to provide a smooth transition for their customers and offering them industry-leading products and customer service that will enhance the way they share and preserve everyday memories," stated Jeffrey Housenbold, Shutterfly CEO and president. "Our acquisition of Kodak Gallery is a perfect example of the consolidation that we believe will play an important role in helping Shutterfly solidify our leadership position in the social expression and personal publishing category.
"Moving forward, we will continue to expand our market position through organic growth and disciplined acquisitions that leverage our scale and scope economies, vertical integration, solid balance sheet and profitable business model."