logo
Share SHARE
FONT-SIZE Plus   Neg

Privately-held Primedia To Buy Rent.com From EBay

Privately-held real estate listings website provider Primedia, Inc. agreed to buy smaller rival Rent.com from its owner, online auctioner eBay, Inc. (EBAY: Quote), in order to provide its advertisers more options and greater visibility. Rent.com is a leading Internet listing website in the apartment and rental housing industry.

The terms of the deal, expected to close second quarter of fiscal 2012, were not disclosed by the companies. The combined entity will be led by Primedia President and CEO Charles Stubbs.

Rent.com, founded in 2000 by Scott Ingraham and Allan Hunter, is a wholly owned subsidiary of San Jose, California-based eBay, which acquired it in February 2005 for $425 million in cash.

"Rent.com has a strong reputation, brand awareness, history and URL. Both Rent.com and PRIMEDIA have long track records of delivering a high-quality consumer and client experience in the marketplace," Stubbs said in a statement.

The acquisition of Rent.com will be complementary to Primedia's category-leading web sites and mobile applications. Rent.com runs a successful pay-for-performance business model.

The combined entity will also provide advertiser clients a broader range of innovative products and services that deliver cost-effective and high quality leads and leases.

Primedia, acquired by affiliates of private investment firm TPG Capital in July 2011, is already the owner of web properties such as ApartmentGuide.com, Rentals.com, RentalHouses.com and NewHomeGuide.com. Primedia is also the parent company of Consumer Source Inc.

"We are excited to be joining PRIMEDIA, a leading vertical search company in the apartment and rental housing sector. Rent.com fits in nicely with PRIMEDIA's mission of being the go-to resource to help people find the perfect place to live," said Bill McKnight, Rent.com General Manager.

EBAY closed Thursday's regular trading session at $37.62, up $0.20 or 0.53% on a volume of 7.15 million shares.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Hartford Financial reported a decline in first-quarter profit, despite growth in premiums, due mainly to the absence of gains recorded last year. Apple Inc. said Monday after the markets closed that its second quarter profit rose 33% from last year, driven by strong sales of iPhone and Mac as well as all-time record performance of the App Store. The company's quarterly earnings per share also breezed past Wall Street expectations as did its quarterly sales. C.H. Robinson Worldwide Inc. (CHRW), one of the largest transportation logistics firm in North America, Monday reported an increase in first-quarter profit, driven largely by a 5 percent revenue growth. However, earnings for the quarter fell short of Wall Street estimates by a penny, as did revenues. Eden...
comments powered by Disqus
RELATED NEWS
Trade EBAY now with 
Follow RTT