Vistaprint, an online printing service famous for its free business cards, has completed its acquisition of Webs Inc., a do-it-yourself website building tool.
Expanding on its printing services, Vistaprint will use Webs Inc.’s technology to offer digital marketing services to customers. Vistaprint is well known for providing business printing services, including business cards, banners and flyers. Now the company is able to offer website building services with custom text, design and domain, starting at $4.99 per month. The service is designed for customers who aren’t able to build a website on their own.
“The value of this transaction lies primarily in three areas,” Vistaprint CEO Robert Keane told VentureBeat. “An increased ability to serve customers via the integration of physical and digital small business identity and marketing, the addition of impressive talent who have an innovative and customer-centric approach to product development, and plans to monetize our mutual customer bases over the long-term via the sale of physical products and premium digital marketing subscriptions.”
The deal was initiated on December 19 and Vistaprint announced the completion of the acquisition on Thursday. Vistaprint paid $117.5 million to Webs Inc., which was comprised of $101.3 million cash and $16.2 million in restricted shares. Webs Inc.’s founders and several employees will be added to the Vistaprint team to run the new website building service. Vistaprint expects the acquisition to make the company an additional $5 million to $6 million in revenue for its 2012 fiscal year.
Vistaprint is a marketing company that offers services to micro businesses and consumers. It currently employs more than over 3,100 people and is based in the Netherlands.