Kodak announced plans to sell off its Gallery online business to photo-sharing service Shutterfly last month subject to a stalking horse agreement where other bidders could come in with an offer. It turns out that no competing bids materialized, as first reported by the Wall Street Journal, and so subject to approval by the bankruptcy court Shutterfly will be allowed to make the purchase for $23.8 million. While Shutterfly made $473 million in revenue last year and is looking to expand, Kodak Gallery reportedly never made a profit despite having over 75 million users. Those customers based in North America will be automatically transferred over to the new service. The sale comes as Kodak continues to restructure and focus on its home printing business after filing for bankruptcy back in January.
Shutterfly to proceed with Kodak Gallery purchase after no rival bids appear
Shutterfly to proceed with Kodak Gallery purchase after no rival bids appear/
Online photo-sharing service Shutterfly will be allowed to buy Kodak Gallery for $23.8 million after no competing bids materialized.