AO World's Jessops acquisition aims for growth

AO World has acquired the Jessops business, which now operates only seven high street shops in the UK. The online electricals chain expects to see growth in the historic camera retailer over the next 12 months, leveraging its existing operations and scale.

Jessops was slimmed down to its most profitable 50 stores after Peter Jones rescued it from administration in 2013. At the time of the AO acquisition, the entire business included just eight stores, a stark reduction from a previous network of more than 250 outlets at its height and over 200 physical stores prior to Jones's involvement.

Financial performance and acquisition context

Jessops posted a 6.5% rise in revenue last year. Despite this increase, the company faced significant financial losses. It recorded a £1.17 million loss in 2024, followed by a further £1 million loss in 2025.

This financial struggle follows a troubled recent history. Jessops collapsed into administration in 2019. It entered administration a further time in 2021, amid a shifting camera market.

Strategic rationale behind the acquisition

AO World, an online electrical retailer, did not disclose the purchase price for Jessops. The company funded the acquisition from existing cash resources. The deal includes Jessops' Camera Jungle e-commerce business, a recommerce operation that buys and sells used camera gear.

This move supports AO's strategy to grow into adjacent categories. The goal is to give customers more reasons to shop and increase share of wallet. Camera Jungle is seen as highly complementary to AO's existing Music Magpie operations, a refurbished electronics business it acquired in December 2024. The integration is intended to boost trade and drive savings.

AO World said: "AO is already making positive noises about Jessops’ future, ambitiously expecting to see growth over the next 12 months." The acquisition strengthens AO's circular economy credentials. Jessops brings a trusted brand and specialist expertise in cameras and optical technology to the wider group.

Peter Jones' historical role and market reaction

Peter Jones, the former owner of Jessops known from UK television's Dragons' Den, reopened a raft of stores that had been closed during his 2013 rescue. His involvement came after the brand's first major downturn.

Market reaction to AO's acquisition was initially negative. Shares in AO dropped 8% in morning trading on the Thursday the news broke. This followed a more cautious outlook on second-half trading from the company. The unchanged outlook is amid forecasts of a more challenging comparative environment in the final six months, with planned investment also contributing to the cautious tone.

Leadership vision and financial outlook

John Roberts, founder and chief executive of AO World, expressed delight at welcoming Jessops into the AO family. He looks forward to growing the existing Jessops business and aims to integrate the camera category into the wider AO business.

AO World expects its half-year profits to jump over 20% higher, reaching around £21.5 million. Group sales are set to rise by 5.5%. The company kept its full-year outlook unchanged. Roberts said AO World carried momentum into the new financial year, with growth continuing against a sluggish backdrop in the wider UK retail sector.

AO World expects to see growth in Jessops over the next 12 months using its existing operations and scale.