The deal means the merger of female-focused PopSugar with the corporate that owns the Thrillist (meals and journey), The Dodo (animals), Seeker (science) and NowThis (information and politics) manufacturers. Terms of the transaction weren’t disclosed, however The Wall Street Journal, which on Monday first reported on the deal, cited nameless sources valuing it at $300 million.
“When we started Group Nine almost three years ago by combining Thrillist, NowThis, The Dodo and Seeker, we foresaw the impending consolidation of the industry and set out to create a model for the next-generation media company with significant scale, deeply loyal and engaged audiences, multiplatform expertise, and highly diversified revenue,” mentioned Group Nine CEO Ben Lerer. “PopSugar hugely expands our reach within an important demographic, bringing us a community that deeply loves the PopSugar brand and a company with the proven ability to diversify their revenue across premium advertising, affiliate, direct-to-consumer commerce, licensing and experiential channels.”
Per Group Nine, the mixed firm will attain 70 % of individuals aged 18 to 34 and can have greater than 200 million followers throughout social platforms.
Group Nine was was created in 2016 with the roll-up of Thrillist, The Dodo, NowThis and Discovery-owned Seeker and a $100 million funding type Discovery. The firm, which additionally counts Axel Springer and Lerer Hippeau as traders, has raised practically $200 million in complete. It beforehand acquired the comedy studio Jash in 2017.
PopSugar, in the meantime, launched in 2006 and constructed up a way of life model for girls. It has raised $41 million from Sequoia Capital and IVP. As a part of the deal, co-founders Brian Sugar and Lisa Sugar will be part of the Group Nine govt workforce. Brian Sugar and investor Michael Moritz can even be part of the Group Nine board of administrators.
“We’ve built PopSugar to be a welcoming voice that resonates with all women across all of her passion points,” mentioned Lisa Sugar, who serves as the corporate’s president. “The Group Nine brands share a similar passionate connection with their audiences as well as an ethos of optimism and action that truly excites me as we become part of the Group Nine portfolio.”
Added PopSugar CEO Brian Sugar, “Over the past few years, we’ve gotten PopSugar to profitability and found a way to build a well-diversified business that has outlasted many of our competitors in a rapidly evolving space. Joining forces with a company and team that has the ambition, momentum and market leadership of Group Nine, combined with our experience and innovation in commerce and experiential, will allow us to build a scalable business model that sets the standard for the next-generation media company.”
The Group Nine deal for PopSugar comes one week after Vice agreed to purchase one other female-centric digital writer, Refinery29. in late September, Vox Media struck a deal to buy and merge with the corporate that owns New York Magazine.
This article was initially printed by The Hollywood Reporter.