Investing.com -- Bloomsbury Publishing (LON:BLPU) on Friday said that it had renewed its distribution agreement with Amazon (NASDAQ:AMZN), following months of stalled negotiations that had threatened a key supply channel for the company.
Shares of the UK-based publishing house was up 2.8% at 06:24 ET (11:24 GMT).
Concerns over the potential collapse of a major deal with Amazon UK arose after the retailer disclosed that it had been unable to reach new terms for the contract governing the sale of Bloomsbury’s physical and digital books.
Amazon UK on Thursday said that Bloomsbury has declined to engage in meaningful negotiations for a renewed agreement to sell their titles on the Amazon platform despite Amazon’s efforts over the past seven months.
The retailer warned that, without a resolution, it would cease selling Bloomsbury’s print books in the UK, Europe, and Australia, as well as its Kindle titles globally.
The existing contract, which had originally been due to expire last year, was set to terminate at midnight on January 23.
However, later that evening, Amazon UK confirmed it had reached a tentative agreement with Bloomsbury.
The contract’s potential collapse could have impacted the publisher, which relies on both traditional retail and e-commerce for book sales.