Congratulations are in order after Moonpig agreed a £124million takeover deal of Buyagift.

The online greetings card specialist said the acquisition would help it become the "ultimate gifting champion".

The transaction will triple Moonpig's gifting range immediately and give the company entry into the £6billion experiences segment.

Smartbox Group UK, the company behind brands Buyagift and Red Letter Days, has a customer base of 3.3 million for a range of physical and experiential gifts delivered through more than 4,400 partners.

Moonpig said it will be able to grow this by incorporating it further within its own customer audience.

Nickyl Raithatha, Moonpig chief executive, said: "The proposed acquisition of Buyagift rapidly accelerates Moonpig Group's journey to become the ultimate gifting companion. There is strong strategic rationale for the transaction, and compelling financial benefits.

"Buyagift is profitable and highly cash generative, with a proven track record of strong growth and we are excited by the ways that we can further transform the business using the group's proven playbook.

"We see significant potential for the cross-selling of gifting experiences to Moonpig Group's loyal customers. We look forward to working with the Buyagift team to deliver an enhanced proposition for our customers and to create value for our shareholders."

The acquisition is expected to complete by the end of July.