1-800-FLOWERS.COM acquired The Children's Group (HearthSong & Magic Cabin Dolls) for $4.9 million, a transaction completed in June 2001, structured as Purchase of The Children's Group from Foster & Gallagher, Inc..
The Children's Group (HearthSong & Magic Cabin Dolls) operates in Consumer Floral & Gifts, is based in United States (distribution center in Vandalia, Ohio). 1-800-FLOWERS.COM acquired The Children's Group from Foster & Gallagher, Inc., a multi-channel direct marketer of children's gifts comprising the HearthSong (natural-material toys, crafts and books) and Magic Cabin Dolls (natural-fiber soft dolls and accessories) brands, with approximately $30 million in calendar-2000 revenues.
Expanded the company's non-floral gift offering into children's gifts and added needed distribution capacity, avoiding the capital cost of building a new facility.
Leverage of 1-800-FLOWERS.COM's 10-million-customer database, online presence and gift-retailing brand to drive sales growth and operating efficiencies for the acquired brands. Operated alongside the company's gift brands; distribution center supported non-floral fulfillment.
The Children's Group's unique collection of gifts for children provides us with a great opportunity to continue to expand our special relationship with our customers as their trusted guide to gifting.Jim McCann, CEO, 1-800-FLOWERS.COM
This asset, that comes as part of The Children's Group acquisition, fills that need and saves us from having to expend capital to build a new facility a year or two down the road.Jim McCann, CEO, 1-800-FLOWERS.COM
Advisory firms were not disclosed for this transaction.