Shutterfly Soars with Pending Kodak Gallery Acquisition
After buying TinyPrints last year for $300 million, Shutterfly is about to acquire parts of Kodak’s online photo service for $23.8 million dollars. Kodak is parting out its Gallery after filing for bankruptcy.
The agreement will transfer U.S. and Canadian customer accounts to Shutterfly. Current Kodak customers who are in opposition to the transfer can select to opt out of the program.
Kodak’s proposed deal with Shutterfly is pending approval and will have to be filtered through U.S. Bankruptcy and Court proceedings. A decision is expected to be reached by the end of March.
Kodak will also be discontinuing their line of digital cameras, camcorders, and picture frames but they are not out of the photo business just yet. The Rochester-based company plans on shifting towards developing home printing products and retail and destination photo solutions.
One Twitter user, pPatil, was surprised that Kodak was able to get as much as they did from Shutterfly: