Card Factory acquires Funky Pigeon to bolster digital growth

Card Factory has agreed to acquire WHSmith’s online greetings card business, Funky Pigeon, for £24m in a strategic move to strengthen its digital footprint. The deal, expected to close by year-end pending regulatory approval, will see Funky Pigeon's platform integrated as the core digital channel for Card Factory’s UK and Ireland operations.

The Bristol-based business, known for its personalised cards and gifting services, has averaged £32m in revenue and £5m EBITDA over the past two years. Card Factory says the acquisition will support its ambition to lead the omnichannel celebrations market, offering enhanced customer experience and operational synergies.

WHSmith is divesting the unit to focus on global travel retail, following a broader strategic shift.

Explore what this acquisition means for the future of digital gifting and UK retail strategy.