Signet Jewelers’ has signed an agreement to acquire online jewelry retailer Blue Nile for $360 million “in an all cash transaction,” Diamond World reports. Blue Nile’s revenue totaled more than $500 million in the calendar year 2021.The transaction is expected to close in the third quarter of Fiscal Year 2023.
Signet’s CEO Virginia C. Drosos commented: “Blue Nile is a pioneer and innovator in online engagement rings and fine jewelry […] adding Blue Nile to our strong and diversified portfolio of banners will further drive our Inspiring Brilliance growth strategy – expanding customer choice, building new capabilities, and achieving meaningful operating synergies that will increase value for both our consumers and shareholders.”
In addition, Signet has updated its guidance for the second quarter and full year Fiscal 2023, “given heightened pressure on consumers’ discretionary spending and increased macroeconomic headwinds.” The prior Fiscal 2023 guidance for total revenue was $8.03-8.25 billion, with an operating income of $921-974 million. These have been revised to $7.60-7.70 billion and $787-828 million, respectively.
