The deal marks a new chapter for the troubled camera retailer as AO expands its operations into adjacent categories
Category: Business
The troubled camera retailer Jessops has officially changed hands, with AO World acquiring the business from Dragons’ Den star Peter Jones. The online electrical retailer announced on September 24, 2026, that it had completed the acquisition, which includes Jessops’ remaining seven stores across the United Kingdom. The financial details of the deal were not disclosed, but AO confirmed that the acquisition would be funded through its existing cash resources.
This acquisition is part of AO’s broader strategy to diversify its offerings beyond white goods, mobile phones, and televisions. The company aims to expand into other electrical categories, and Jessops is seen as a valuable addition. AO stated, “Jessops brings a trusted brand and specialist expertise in cameras and optical technology, which is highly complementary to our existing musicMagpie operations and strengthens our circular economy credentials.”
Jessops operates a re-commerce business, Camera Jungle, which specializes in buying and selling secondhand digital cameras, lenses, and photography accessories. This aligns well with AO's recent acquisition of musicMagpie in December 2024, a platform for buying and selling refurbished electronics and used media.
Founded in 1935 by Frank Jessop in Leicester, Jessops has seen a tumultuous history over the past two decades, marked by financial instability and multiple administrations. The retailer has collapsed three times since 2013, when Peter Jones initially rescued the brand from administration. At that time, he invested £5 million, reopening 30 stores and attempting to revitalize the business.
At its peak, Jessops boasted over 300 stores, but the shift toward online shopping and the rise of smartphone cameras significantly impacted its sales. By 2021, Jessops had dwindled to just 17 stores, and a series of administrative filings in 2019 and 2021 left it with only eight operational locations. The latest accounts revealed that Jessops posted a revenue of £19.8 million in the last financial year, a 6.5% increase, but still faced a pre-tax loss of £1 million.
Jones’s efforts to stabilize Jessops were met with challenges, as the company struggled to adapt to changing market conditions. In 2024, Jessops faced a winding-up petition from HMRC over unpaid taxes, highlighting the financial pressures the brand was under. The decline in foot traffic and the competitive market for consumer electronics made it increasingly difficult for Jessops to maintain a sustainable business model.
AO World, founded by John Roberts in 2000, has positioned itself as a major player in the online retail space, primarily known for selling large appliances. The acquisition of Jessops marks a strategic move to diversify its product range and capture a larger share of consumer spending. Roberts expressed enthusiasm about welcoming Jessops into the AO family, stating, “I am delighted to welcome Jessops into the AO family and look forward to growing the existing business as well as integrating the category into the wider AO business.”
The deal comes at a time when AO has reported a 5.5% rise in group sales and expects its half-year profits to jump over 20% to approximately £21.5 million. This growth is attributed to the successful integration of musicMagpie and the anticipated benefits from Jessops, which AO believes will leverage its scale, web traffic, and operational expertise for growth.
Notably, AO’s shares experienced an 8% drop following the announcement of the acquisition, as the company provided a cautious outlook for second-half trading. The firm indicated that it would maintain its full-year profit expectations, citing planned investments and a challenging retail environment.
The integration of Jessops into AO World is expected to bolster the company’s offerings in the second-hand market, particularly through the synergies with Camera Jungle and musicMagpie. Jessops is anticipated to grow in the next year as it utilizes AO's resources to boost sales and drive operational efficiencies.
As AO continues to navigate a competitive retail sector, the acquisition of Jessops enhances its portfolio and reinforces its commitment to sustainability through re-commerce initiatives. The company aims to provide customers with more reasons to shop at AO by diversifying its product categories.
Ahead, AO World will focus on optimizing Jessops’ operations and integrating its unique expertise in photography. This strategic acquisition signals a new chapter for both AO and Jessops, with the potential for renewed growth and expansion in the competitive retail market. As the company moves into the new financial year, it remains committed to adapting to consumer needs and market trends, ensuring its place in the rapidly changing retail environment.
In a statement, Roberts concluded, “We’ve carried our momentum into the new financial year with continued growth against a sluggish backdrop in the wider UK retail sector.” With a liquidity headroom exceeding £200 million, AO World appears well-positioned to implement its ambitious plans for Jessops and capitalize on the opportunities within the second-hand market.