VistaPrint N.V. (VPRT) agreed to acquire Webs Inc. for $117.5 million in cash and restricted stock, as the printing company looked to expand its online marketing offerings and build on its recently declared strategy of pursuing acquisitions to build future growth.
Webs Inc., which focuses primarily on small businesses and entrepreneurs, allows users to create their own websites and Facebook pages to build their online presence. It has served more than 40 million customers since its inception in 2001 and has over 100,000 paying subscribers. The Maryland-based company has about 50 full-time employees and expects 2011 revenue to be about $9 million.
VistaPrint plans to buy Webs for $100 million in cash and $17.5 million in restricted shares subject to continued employment of the founding shareholders. Webs management and employees are expected to join VistaPrint, but continue to operate under the Webs name.