Profoto acquires StyleShoots for EUR 18 million
StyleShoots is a company offering all-in-one solutions for e-commerce photography in the fashion area, with 41 employees and with headquarters in Haarlem, The Netherlands. The customers mainly consist of e-commerce platforms and retailers who have established their presence in e-commerce. StyleShoots offers an integrated software and hardware solution that streamlines workflow for both still photography and video. In 2021, StyleShoots’ sales amounted to EUR 9 million and the sales growth has been 11 percent on average during 2015-2021. The EBIT margin 2021 was 18 percent. The acquisition of StyleShoots has been completed and is expected to contribute positively to Profoto’s earnings per share as from Q2 2022.
Profoto has acquired all shares in StyleShoots for a purchase price of EUR 18 million on a cash and debt-free basis, corresponding to a multiple of 12x StyleShoots’ EBIT 2021. The acquisition is financed through its own funds.
Profoto has a well-established position in the segment of fashion photography of strong brands, where the customers are characterized by devoting a lot of resources to maintain or strengthen their brands with high-quality images, which Profoto’s studio lighting products are very well suited for. Profoto has acquired 100% of StyleShoots, and all employees are expected to remain in the business following the acquisition.
The e-commerce photography market is expected to have a growth rate of more than 10 percent per year until 2025. This growth is also expected to drive the demand for workflow and lighting solutions for video and still photography.
“We are very excited about the opportunity to acquire StyleShoots”, says Anders Hedebark, President and CEO of Profoto. “This acquisition is fully in line with our previously communicated strategy to expand into neighbouring markets. StyleShoots offers a combination of user-friendly software and high-quality hardware supported by competent staff and management in this very interesting niche of the market. I am impressed by what StyleShoots has created and very excited about what we will be able to achieve together in the future. By combining our product portfolios and sales organizations we will efficiently provide a more complete product offering to customers worldwide. StyleShoots has been very successful in Europe, and with the help of Profoto’s strong global presence, we see great opportunities to accelerate growth in the US. “
“We see great opportunities in joining Profoto’s brand and organisation, says Tom van Soest, CEO and co-owner of StyleShoots. “Profoto has a great brand and a global organization which we hope will help us a lot. I see nothing but opportunities in this both for us in StyleShoots and our customers in the future.”
van Soest and Chris Schäfer, co-owners of StyleShoots through the seller Life Style Technologies Holding B.V, as well as the CEO and the CFO of StyleShoots, will continue to be involved in the operations of StyleShoots following the acquisition and have undertaken to acquire Profoto shares in the stock market at a total amount of EUR 1,272,487, within six months following Profoto’s acquisition of StyleShoots. The shares acquired by van Soest and Schäfer, respectively, will be subject to lock-up terms for 12 months following the completion of the share acquisitions.