Lovefilm management and founder net windfall after Amazon takeover By <br /> Updated: 08:44 BST, 21 January 2011 <br> <br>The management and founder of Lovefilm landed a blockbuster £7m windfall yesterday after selling the online movie rental service to Amazon. <br /><br><br>The American web-based retail giant already owns 42pc of the firm, which has 1.2m members, but has agreed to buy the rest from its other shareholders, http://hd-lostfilm.shop/v2/page/2/ which include four venture capital firms and staff.
<br /><br><br>Founder William Reeve, who no longer has any role at the firm, will sell his 1.5pc stake for £3m. <br /><br> In the money: Lovefilm chief executive Simon Calver has a 1pc stake worth £2m<br> <br>Chief executive Simon Calver and chairman Charles Gurassa, who was previously at the helm of Virgin Mobile, each have a 1pc stake worth £2m each.
<br /><br><br>The website, which has been sold for what is thought to be £200m, works by sending members, who take out a subscription, DVDs and games through the post. <br><br><br><br>It also streams movies or TV shows to their computers or TVs. It will continue to operate under its own brand.
<br /><br><br>Amazon sold its European DVD rental arm to Lovefilm in 2008, which is when it became a shareholder in the business. <br><br> <br>