Card Factory is set to buy personalised greetings card business Funky Pigeon.

The retailer, which has stores in Cheltenham, Gloucester, Tewkesbury, Stroud and Cirencester, has agreed to acquire the online business from WHSmith for £24m.

The deal is expected to complete before the end of the year, subject to regulatory approval, as reported by Retail Gazette.

The funkypigeon.com website has generated around £32m in annual revenue over the past two years.

Card Factory said the acquisition will provide a platform for online growth in the direct-to-recipient card and gifting market, supporting its ambition to become the leading omnichannel retailer in the greetings card sector.

WHSmith agreed to sell Funky Pigeon following the sale of its high street business to Modella Capital, as it focuses on its travel retail arm.