AO World, a UK-based retail and online company, has acquired Jessops, a well-known camera and optical store chain, from Peter Jones, a prominent TV personality and investor on the show Dragons' Den. The acquisition was announced as AO World's shares fell by 8% during morning trading on Thursday, following the company’s announcement of a more cautious outlook for the second half of the year. AO World did not reveal the purchase price, stating that the deal was funded using its existing cash reserves. The company described the acquisition as a strategic move to expand into "adjacent categories," aiming to give customers more reasons to shop with AO and increase their overall spending with the brand. This follows AO World’s acquisition of Music Magpie in December 2024, a business that resells refurbished electronics, used games, books, and other media. AO World emphasized that Jessops brings a trusted brand and specialized knowledge in cameras and optical technology, and its recommerce arm, Camera Jungle, complements their existing Music Magpie operations. This integration is expected to strengthen AO World’s position in the circular economy, which focuses on reusing and recycling products. Jessops had previously faced financial difficulties, with Peter Jones rescuing the company from administration in 2013. Jones revived several stores that had been closed but the company again collapsed into administration in 2019 and 2021 due to changes in the camera market. Today, Jessops operates only eight stores, down from over 250 at its peak. AO World’s founder and CEO, John Roberts, expressed enthusiasm about the acquisition, stating that he looks forward to growing the Jessops business and integrating it into the broader AO World operations. Despite the acquisition, AO World reported that half-year profits are expected to rise by over 20% to around £21.5 million, with group sales projected to increase by 5.5%. However, the company maintained its full-year profit outlook unchanged, citing a more challenging environment in the second half of the year and planned investments as factors behind the recent drop in share prices. Roberts noted that AO World has continued to grow despite a slow UK retail sector, highlighting the company’s resilience and momentum.