Liberty Interactive Corporation, the parent company of video and ecommerce retailer QVC, will acquire online retailer zulily. zulily will join the QVC Group to create a multi-platform and multi-brand retailer.
Since its inception in 2010, zulily has become the third fastest retailer in history (with Amazon and Old Navy) to reach $1 billion in annual net sales. Together, the QVC and zulily platforms represent combined annual revenues of more than $10 billion and 230 million products shipped to 19 million customers in 85 countries, including the UK and Ireland. The deal values zulily at $2.4 billion, and it will remain based in Seattle.
"We are excited for zulily to join the Liberty family," stated Greg Maffei, Liberty Interactive president and CEO. "Darrell, Mark and their team have built an impressive business around entertainment, discovery and value to the customer, which fits perfectly with the QVC philosophy. Combined under Liberty, we have an incredible opportunity to delight shoppers from the TV to the internet."
"As the world leader in video and ecommerce retail, QVC is dedicated to reimagining shopping, entertainment and community as one," said Mike George, QVC president and CEO. "In zulily, we see a like-minded brand that shares our passion for discovering great products, for delivering honest value, and for building long term relationships with customers. Our teams are committed to learning from and inspiring each other and leveraging our platforms in new ways to accelerate growth, serve our customers better, and realise the full potential of both of these extraordinary brands."
zulily will continue to be run by its management team, with Darrell Cavens remaining president and CEO of zulily. In connection with the transaction, Mike George is being appointed to the executive committee of the Liberty Interactive board of directors and will serve on that committee with John Malone and Greg Maffei. In addition, zulily co-founder Mark Vadonwill join the Liberty Interactive board of directors.