Now This Is Strange: ISP Buys FTD

United Online, which is an ISP (NetZero, Juno) and owns Classmates.com and which withdrew a planned IPO for Classmates.com earlier this year, has entered into an agreement to acquire FTD (the floral delivery company) for $800 million. Here’s the apparent rationale:

Diversification of Revenue Streams, resulting in United Online’s Communications segment revenues, which are principally driven by its NetZero and Juno Internet access services, representing less than 25% of total United Online revenues. The addition of FTD to the United Online family will provide additional revenue streams—e-Commerce and Retail—in addition to the existing Communications and Classmates Media businesses.

Still, it seems very strange. . . But it puts the company squarely in the local space. FTD has a marketing deal with ReachLocal to service the company’s 20K+ local florists.

Remember, Mother’s Day is Sunday May 11.