IAC/InterActiveCorp to Buy Cornerstone Brands

Barry Diller’s IAC/InterActiveCorp, owner of Expedia and the HSN home shopping network, agreed to buy Cornerstone Brands Inc. for $720 million to gain ownership of catalogs including Ballard Designs and Garnet Hill.

Cornerstone Brands, founded in 1995, is being sold by an investment group including Madison Dearborn Partners and J.P. Morgan Partners. The company will be added to IAC’s electronic retailing and HSN business, New York-based IAC said.

Shares of IAC rose 73 cents to $22.23 on Nasdaq.