Shutterfly Buys GrooveBook For $14.5 Mln

(RTTNews) - Shutterfly, Inc. (SFLY), Tuesday said it acquired GrooveBook, a photo app service, for $14.5 Million, which includes an upfront purchase amount and a future performance-based earn-out.

GrooveBook is an iPhone and Android app and subscription service that prints up to 100 mobile phone photos in a 4.5" x 6.5" GrooveBook and mails it to customers every month for $2.99.

"The acquisition of GrooveBook reflects Shutterfly Inc.'s continued commitment to offering customers dynamic mobile experiences," said Jeffrey Housenbold, president and CEO of Shutterfly Inc. "By adding GrooveBook to our family of brands, we will introduce a new photo book form factor while leveraging the viral, social, and word of mouth nature of the GrooveBook mobile apps."