West Chester's QVC To Merge With Home Shopping Network In $2 Billion Deal

WEST CHESTER, PA — West Chester-based QVC and Home Shopping Network are merging in part of a $2 billion deal to stay competitive against online retailers.

QVC's parent company Liberty Interactive already owned about 38 percent of the Home Shopping Network, according to the company. The new agreement means that the remaining 62 percent will now also be in the hands of QVC.

“The addition of HSN will enhance QVC’s position as the leading global video eCommerce retailer," said said Greg Maffei, Liberty Interactive President and CEO., in a statement. "Every year they together produce over 55,000 hours of shoppable video content and have strong positions on multiple linear channels and OTT platforms."

The merger allows the companies to better compete against a rapidly growing online market, including Amazon, and brick and mortar stores that are taking away business, like Walmart.

In a statement, QVC touted the following benefits of the deal:

• Increase scale, enhancing the competitive position of QVC Group
  • Meaningful synergies through cost reduction and revenue growth opportunities
• Increased development of eCommerce, mobile and OTT platforms
• Optimize programming across five U.S. networks
• Cross marketing to better engage existing and potential customers
• Financial optionality due to HSNi’s lower debt leverage

QVC is headquartered at 1200 Wilson Drive in West Chester.

Image via Commons courtesy Vinajesani